LLC Investment Income

[RTP]

We're a married couple filing a joint return. In 2018 we established a 2 person (married couple) LLC for a rental property in Florida. That property had no rental income for 2018 (but lots of remodeling and startup expenses). However, the LLC does have about $350 of non-rental investment income. I do not want to go the creation of a K-1 route to include the small income on our joint return. Is there another way to report the investment income without creating a K-1? The investment (interest & dividends) income is reported on our LLC brokerage statements? Since we did not get a 1099 for the LLC, as it has its own EIN, is there another way to report it on our 1040 return? Schedule E doesn't seem to have a place to input the EIN number...or maybe I'm not finding it. Any suggestions would be greatly appreciated.

[JulieR · Accepted solution]

If you are filing your LLC as a disregarded entity on Schedule C of your Form 1040, you will not prepare and file a K-1.

[RTP]

As a follow-up on my question regarding filing as a disregarded entity and using Schedule C of the Form 1040, if I am not in one of the nine common law states where filing as a Disregarded Entity is not an issue, what about the other 41 states? I've read on a couple of blogs/forums that if you are in one of those 41 states then it's not clear whether or not that (disregarded entity) is an approved filing option. There is some that believe you can file using that method where others say conservative CPA's won't recommend it. I would like to get a more definitive opinion with references (if possible) if this is possible for a filer who lives in Pennsylvania (non-common law state) and the rental property is in Florida (also non-common law state) where the LLC is filed. Again we are filing a joint return.