Yes, the SMLLC received rental income from in the amount of $20,000 for a property it doesn't own. It just collected rent because it's a subsidiary of a rental holding company. Neither of which owned the property if collected rent for.
BACKGROUND
HOW DO I FILL OUT A 1065 FOR A MULTI-MEMBER LLC WHICH IS A HOLDINGCOMPANY TAXED AS PARTNERSHIP WHICH OWNS A SUBSIDARY ANOTHER LLC (SINGLE-MEMBER) THAT HAS RENTAL INCOME OF $20,000? JUST NOT SURE WHER TO PUTTHE RENTAL INCOME FROM THE SUBSIDARY.
1) SHOULD I FILL OUT FORM 8825 ON 1065?
2) SINCE THE RENTAL INCOME WAS PAID TO THE SUBSIDIARY, HOW DO I SHOW WHICH COMPANY THE INCOME IS FROM ON THE 1065? THE 1065 IS UNDER THE HOLDING COMPANY SINCE IT'S MULTI-MEMBER (2MEMBERS).
3) I RECEIVED A 1099-K FOR RENTAL INCOME UNDER THE SUBSIDARY'S NAME FROM JAN - MAY OF 2024.
4) THE REST OF THE RENTAL INCOM JUNE - DECEMBER 2024 WAS PAID UNDER MY PERSONAL NAME.
THE SMLLC DOES NOT OWN THE RENTAL PROPERTY HOWEVER, A PART OFTHE RENTAL PAYMENT (January - May) WAS MADE TO THE SMLLC (the subsidiary) AND A PART WAS MADE UNDER THE OWNERS NAME (June -December) SO NOW I'M NOT SURE IF I NEED A SCHEDULE E FOR THE PAYMENTUNDER THE OWNER'S NAME. ALSO, CAN I TECHNICALLY PUT THE RENTALINCOME PAID TO THE SUBSIDIARY FOR (January - December) ON THE 1065 WHEN NEITHER THE SUBSIDIARY NOR THE HOLDING COMPANY LEGALLY OWNS THE RENTAL PROPERTY.
