LLC multimember passed away, do I need to change ownership to her living trusts name & EIN in Turbotax Business

[JF48]

Hi Y'all,

My Mom passed away last year and owns a % of the multimember farm LLC.  She now has an irrevocable living trust and an EIN # but No changes in % off LLC ownership and no transfer of ownership to anyone else except her LCC interest assigned to her Trust; Do I need to record that in LLC Biz TurboTax somehow?   

Could I just edit her information without saying it is an "Ownership change" in Biz TurboTax?

I have not had to file LLC book values in TurboTax prior, with this change, will I need to start?

I understand I will need legal support on filing for estate taxes in Oregon for her estate and CPA support. 

Thanks for any input~!

Jim

[M-MTax]

The LLC had an ownership change. 

A final K-1 is issued to your mother and the trust becomes the new member.

The outside basis will be stepped up to its FMV in the hands of the trust.

Whatever you need to do for the trust in terms of its holding of the interest has to be determined by the trustee......maybe that's you? It'll be liquidated or maybe distributed to the beneficiaries of the trust.

You're already getting legal support for Oregon estates so ask about this too.

[RobertB4444]

Unfortunately, no, you can't just edit the information without saying it is an ownership change. 

It needs to be recorded as 'business change' to notify the IRS of the new owner.  This will also generate 2 K-1's for the LLC - one for your mother up to her date of death and one for the trust for the remainder of the year.  Income and deductions will be distributed between these two K-1's on a percentage-of-the-year basis.