Rental Income

[reza052759]

I have three rental properties. In the past, I used to file the information on Schedule E. However, in 2023, I established a LLC and transferred the properties to LLC. Given that the income from these are now under LLC, should I file the income on Schedule C?  If not, what forms do I need to file for a Rental LLC?  Thanks

[MarilynG1]

Where you enter rental activity depends on the type of LLC and its members. Single-Member LLCs (SMLLC) most often file rental activity on Schedule E as part of Form 1040 (a personal tax return). Members may be one member or a married couple living in a community property state.

However, if you provide "substantial services" to your tenants or your real estate business generates rental income, use Schedule C: Profit or Loss from Business. If you report rental income as Self-Employment Income on Schedule C, you will pay self-employment tax.

Here's more info on LLC Rental Activity.

@reza052759