More details on the tax situation:
- I have 2 single member LLC's that will each generate a loss if I deduct the full section 179 allowance
- My other income (I.e. $300K in this example) that will exceed any losses from these two LLC's including any section 179 allowances is W2 salary income from my full time job. This $300K in income is unrelated to the two LLC's. I am in a management position at a large company and ideally would like to offset the W2 taxes I have paid in that position with the unrelated LLC losses due to section 179.
- I read some guidance that the first check is whether the LLC made income and you were capped in this deduction. However, I might be able to offset my W2 income with these LLC losses from section 179 because these are disregarded entities.
Thanks
