Did you file a Partnership return or just a Schedule E with your personal return?
Are you attempting to have a qualified joint venture? A qualified joint venture is a joint venture that conducts a trade or business where (1) the only members of the joint venture are a married couple who file a joint return, (2) both spouses materially participate in the trade or business, and (3) both spouses elect not to be treated as a partnership.
Unless you live in a community property state, this option is not allowed if the husband and wife have an LLC.
