Business & farm

You have a number of things going on:

  1. I am assuming since this started in CT, the LLC was organized under CT state law.
  2. If 1 is correct, you may continue to have filing requirements with the CT secretary of state.  I have not looked into this filing requirement; some states have annual filings and others every other year.  You will need to follow-up on this matter.
  3. Based on your facts, I am assuming that both member's are now living in MD.
  4. If 3 is correct, you now have multiple state filing requirements.
  5. Since CT is your state of organization and where the business activity takes place, you will continue to file a CT-1065.  If number 3 is correct, you will also need to look into whether or not CT has nonresident withholding requirements.
  6. Since you now have a business location in MD, you will need to file a form 510.
  7. If number 3 is correct, the member's will also be required to file two state tax returns.  The exact type for 2018 is dependent on when the move took place.
  8. You have a mildly complicated situation, so depending on your tolerance for figuring out the multiple filing requirements at both the entity and individual level, you may want to consult with a tax professional.
  9. In answering your specific question, yes you need to allocate the income based on the sales activity.
  10. I have attached a couple of links that may help you get started down the right path


*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.

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