Ok. That simplifies many things.
- Since you are husband and wife, most likely filing a joint tax return, you do not have to worry about contributing property where the adjusted basis differs from the FMV. Section 704(c) can be tricky.
- You are correct in that the adjusted basis of the property carries over to the LLC as does depreciation method and remaining life.
- In addition, as you stated, there would be no book to tax difference in depreciation.
- Since the property was contributed by a single member LLC owned by an individual, your K-1's should be reflected as if owned by you individually; disregarded for tax purposes.
- You really don't have a "master LLC". A master LLC comes into play in a Series LLC context which you do not have (thankfully). You just have a regular multi-member LLC.
*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.
