Thank you for that heads up. I see that we could prepare Form 1065 and the appropriate K1's using Turbo Tax Business (~ $145 at Costco). In Texas, general business partnerships don't have to be registered so I believe the Form 1065 and K1's would be the only documentation required. We would also construct a written contract even though it isn't technically mandatory.
We have several months before they would be moving. It looks like a great investment opportunity and I'm just trying to sort out whether the administrative / reporting burdens are too great to make it work, or if there is some structural obstacle to implement this investment and achieve our objectives through a relatively simple approach. If it is practical, we would likely use an accountant to help set up the details and prepare the first year's Form 1065 and K1's.
I really appreciate the perspective the experts on this forum are able to provide!!
