Our LLC Operating Agreement states that husband & wife are the only members (also the only Managers) as Joint Tenants by the entirety. (This means we are treated as one person.) When I create a Schedule C on Home & Biz, it only allows me to select one name for whom the Schedule C is for; it will not let me select both of us. When I called a TurboTax Advisor, he suggested we split all assets, income, expenses etc. 50-50 to create two Schedule C's on Home & Business TT. My lawyer said that didn't sound right, but he also didn't offer the correct method.
The TurboTax Advisor is correct. When you have a Qualified Joint Venture with your spouse, you do not have to file the partnership return. But, you are supposed to split income and expenses equally in your personal return by creating separate Schedule C's and SE's. I'm sure your lawyer is extremely capable in forming the entity, but he probably is just not aware of how these are accurately reported.
I found this TurboTax blog article that actually explains it pretty well.
The TurboTax Advisor is correct. When you have a Qualified Joint Venture with your spouse, you do not have to file the partnership return. But, you are supposed to split income and expenses equally in your personal return by creating separate Schedule C's and SE's. I'm sure your lawyer is extremely capable in forming the entity, but he probably is just not aware of how these are accurately reported.
I found this TurboTax blog article that actually explains it pretty well.
Impossible to split Assets that are being depreciated 50-50! Income and Expenses should be ok though
Is it that difficult for TT to create the option to select both spouses names for same schedule C?
This is not just TurboTax. I have my own business and have used 2-3 different CPA level professional software packages. I've never used one where you could split the Schedule C. I'm sure it would not be that hard to create, but there's just not a lot of your type of entity out there in comparison to everything else.
Great, then we've found a niche for someone who wants to create a new software to meet the need for all the Joint Entities out there, who aren't being helped by TurboTax or any other software package. It CAN'T be that difficult to code something in to allow both names for the same schedule C
You still would need 2 schedule C. Schedule C is for one individual not two. You need a schedule C for each ssn. But it would be nice if a program could split a schedule C in half and fill out 2.