I have a transportation business thats registered as an LLC with only me being the owner, I didnt file last year because there was no income in 2018, we only started operation in august 2019 even though the company was registered in 2017 (hopefully, not filing is not a bad thing). My wife drives for the company while also having a w2 job elsewhere, I will be giving her a 1090.
I am also listed as a driver and I fill in sometimes and I have a full time job as well.
We file jointly yearly and I am very confused as to what turbotax package to use and how to go about filing correctly for the houshold and business Do i file them seperately or together?. Any help will be appreciated in terms of suggestions and advice.
I have a transportation business thats registered as an LLC with only me being the owner
So you have a single member LLC. The IRS considers a single member LLC to be a disregarded entity. Therefore, all business income/expenses is reported on SCH C as a part of your personal 1040 tax return. It does not matter that you are filing a joint return either.
Vehicles used in the business are business assets, and will be entered as a vehicle asset in the business vehicles section. This is true even if the business use of any vehicles is less than 100%.
My wife drives for the company while also having a w2 job elsewhere, I will be giving her a 1090.
You mean 1099-MISC, not 1090. This means that your wife is also a business owner with her own single owner business. If she is not registered with the state, then she has a sole proprietorship which is treated *exactly* the same as a single member LLC for tax purposes. So your wife will be filing her own SCH C as a part of your personal joint tax return.
When done, you'll have a joint 1040 tax return with a SCH C for your business, and a separate SCH C for your wife's business.
I am very confused as to what turbotax package to use
Being that this is obviously your first time dealing with self-employment income on taxes, I *STRONGLY* recommend you use the CD/Desktop version of the program that you physically install on your computer. It is *SIGNIFICANTLY* more user-friendly than the online version, offers more features (such as forms view, which is not possible with the online version) and is much, much, much easier to navigate.
If you use the online version you "must" use the most costly self-employed version.
If you se the CD/Desktop version you will need at least the Premier version. On the CD version both Premier and Home & Business have the SCH C. The only difference is, the H&B version offers more in-program help.
While you can purchase the CD version from TurboTax directly at https://turbotax.intuit.com/personal-taxes/cd-download/ and download the CD installation file once you pay for it and install it "RIGHT NOW" if you want, you may find it cheaper at other *authorized" retailers like Wal-Mart, OfficeMax, Office Depot or Target.
The reason I am pushing the CD version is because I already know that if you try this with the online version for your first time, you will get frustrated and eventually give up. In my personal opinion, the online version os *NOT* user-friendly for someone using the program for the first time, or using it in a way they have never used it before - such as reporting business income/expenses for their first time.
I also know you will have questions as you work this through for your first time, but I'm not going to answer those questions in this post (even though I know what your questions will be) so as not to overwhelm you with what I refer to as "information overload".
You can do this. Just take it one step at a time. Get started early. Waiting to the last minute to deal with a tax reporting situation for your first time is practically "guaranteed" to bite you. So get on this yesterday, if not sooner.
Thank you for the response Carl, I am looking in tot he CD version as we speak.
My wife does not have her own business, she just drives for me and has apart time job with another company(not hers).
Will that still be a 1099-misc? I pay her a flat rate biweekly and dont take out any tax.
Please dont hesitate to answer any questions i may have. lol.
I appreciate any input you have.