My multi-member LLC only holds raw land with no income,and pays property tax on the land which results in a loss each year equal to the amount of the property tax paid. The amount of this property tax payment shows up as a business loss on Form 1065, Schedule K, Line 1. This same amount is then transferred to Schedule K, Line 14a as "net loss from self-employment" Since this LLC has no employees, why is self-employment part of the calculation, and how do I get rid of this if it is in fact incorrect?
