@ciquo wrote:
Do I only report against the one property in the 1065 and report the other through Schedule E, or can they be combined ?
The properties cannot be combined at this point (for the 2019 tax year) because one was held jointly by you and your wife while the other was held by the LLC (if you reside in a community property state, there is a solution for this scenario).
As an aside, rental income and expenses are reported on Schedule E when filing an individual income tax return but are reported on Form 8825 when filing a return for an LLC (Form 1065).
Regardless, you can always transfer your first property into your LLC with your second property (or vice versa) to simplify accounting and income tax preparation going forward.
