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Filing regular taxes with a dissolved llc

We opened in 3/2023 and closed and dissolved our llc last year in July 2023 due to medical reasons, sold the truck/trailer and stopped all work( trucking flat be lumber hauler) There were no assets in the corp. I need to know if we can file our 1099-NEC from the company we hauled for with our regular taxes under the Schedule C/SE? or if we are going to have to file a different return even though we closed/dissolved the business?

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Vanessa A
Expert Alumni

Filing regular taxes with a dissolved llc

When you say we, who is we?  Also, are you in a community property state if we is your spouse?  Which state are you in?

 

If the partnership was not with your spouse, or not in a community property state, then  you cannot use Schedule C to file your return.  You will need to file a 1065 partnership return to report whatever income and expenses the partnership received.  Then the partnership will issue the partners a k-1 which you will then report on your personal returns. You can use TurboTax BUSINESS, to file the 1065 Partnership return.  When going this route, you will also be able to check the box that says you ended the partnership.   You will need to report that you disposed of your assets.

 

If the we is you and your spouse, and you are in a community property state, then yes, you can file using a schedule C, one for each of you and split the 1099-NEC between the two of you.  If you closed for good, and had assets that you need to dispose of, you would file a final return and include form 8594 with it to dispose of the assets either by selling them or turning them into personal use.  

 

For both the partnership and Single member, there is a box to check as you walk through the business questions to say that the business is closed.  If you select this box, TurboTax will walk you through the rest to report the disposal of assets.

 

The above information is for your federal return. State rules vary, but you may have additional reporting requirements with your state.

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