My family and I formed a multi-member LLC in October 2023 to purchase investment homes to fix and sell. We only purchased one house in 2023. We started the remodel but didn't finish the house until February 2024. Do we file this year (2023) to report the purchase of the home? or do we wait until tax year 2024 to also be able to report the sale and add the cost of the remodel. Another option I found on this forum is that since the house was purchased as an investment, we have to file in 2023 to report it as inventory. Which answer is correct?
**no rental income, the house is currently under contract
Thank you!