If you revoke the S corporation status it may allow you to file the business activity on your personal tax return, even if you had two owners. You can read more about this in this IRS article:
https://www.irs.gov/businesses/small-businesses-self-employed/election-for-married-couples-unincorpo...
In any case, it would relieve you from the need to file and report payroll taxes.
You can become the only member of the business, but only if your spouse is not active with it. If he or she performs services for the business, you would need to list that individual as a partner or pay them a salary for their services if they are not a member of the LLC.
To terminate the S corporation election, you need to draft a letter to that affect and send it to the IRS. You need to do it before the 15th day of the third month of the current tax year. It should list the partners and have them sign their consent to the revocation.
You also need to file form 8832, the same form you filed to elect to have the LLC taxed as an S corporation. This will tell the IRS how you are electing to be taxed in the future.
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