Question 1) Please see my response to your other question in the other thread. In short, I believe you should.
Question 2) You'll need to form the LLC at the state level, then request an EIN for the LLC here: https://www.irs.gov/businesses/small-businesses-self-employed/apply-for-an-employer-identification-n... After you've created an EIN, you'll need to file Form 2553 with the IRS to elect to file the LLC taxes as an S Corp. You'll need to fill out page 1 and 2 of the Form 2553.
Question 3) No, your spouse does not need to be a member of the LLC as well to perform administrative functions unless you want your spouse to be a member.
Question 4) There really is no distinction at the federal level that I am aware of as far as pros and cons.
Question 5) The TurboTax products needed depend on whether you've elected to file LLC taxes as an S corporation. If you do not make the S Corp election, you'll need TurboTax Self-Employed to file the 1099 taxes. If you make the S Corp election, you can choose TurboTax Premier or Deluxe for your personal taxes but you'll need to use TurboTax Business to file the S Corp taxes. You'll also need to file quarterly payroll tax returns and created a year-end W-2 issued to you personally by the S Corp you created. The W-2 issued by the S Corp along with the K-1 from the S Corp will then need to be included in your personal tax returns.
Ruth C-L, CPA, Attorney
