I don't believe I need to file taxes for the "other" state. There were no taxes paid in, so nothing to try to get refunded. Only the net loss from an LLC. Also, it is the final year of the LLC (it was dissolved during the year.) So how do I answer the TurboTax question about if I made income from other states? And how do I report the LLC loss for my home state return?
Was it a partnership or a single member LLC? If it was a single member LLC, then you would not likely need to file in the other state, however, these rules can vary depending on which state you live in.
You would report the final year of income and expenses (even if it was at a loss) on your Schedule C. If you have a loss, you can generally use it to offset your ordinary income.
If it was a partnership, then you should have received a k-1 from the partnership to report the income/loss on your return. In this case, the partnership may have reporting/closing requirements to file with the state, but that varies by state.
Hi, thanks for replying. It was a partnership, so yes, we received a k-1, and the LLC did file a final tax return.
Then you just need to enter the K-1 on the federal return. All of your income (loss) gets transferred to your resident state returns automatically. Where do I enter a Schedule K-1 that I received?
So, for the Turbo Tax question about if I made income in other states, I can reply no, correct?