Some comments:
- Both LLC's are disregarded and the "end" owner is you.
- For tax purposes, you only file one return (Schedule C) under LLC1. This is because LLC2 is disregarded.
- Technically, neither LLC needs its own EIN unless you have employees, however, some banks require a separate EIN and some don't like to use their SS#.
- There could be some separate state filings so check with your specific Secretary of State on this matter.
- Since this will be filed on a Schedule C, you don't record any payroll to yourself. All income and deductions will be reported on the Schedule C and you will pay the applicable taxes on this net figure; regular tax and SE Tax.
- As stated, it is a good idea to have separate books and records for each LLC.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
