Several thoughts and comments:
- Just to clarify prior post comments, a multi-member LLC (LLC) is by default taxed as a partnership. So in essence, you have in fact "elected" to be taxed as a partnership, however, no formal election is required; this is just the default as noted.
- Additional facts are definitely needed:
- Clarification as to whether you are currently a member
- How many other members are there (just like to know the facts)
- What does the current LLC hold in the way of assets
- Is there debt on the books of the LLC
- Is the LLC cash or accrual method of accounting
- After responding with additional clarification, we can provide some guidance, however, in the end, you need to meet with a tax professional to make sure that this is handled properly for all parties involved.
*A reminder that posts in a forum such as this do not constitute tax advice.
Also keep in mind the date of replies, as tax law changes.
