Essentially what is happening is that a married couple owning an LLC in a community property state is eligible to file a return as a qualified joint venture (assuming they meet all the requirements).
In general, an LLC is not eligible to make a qualified joint venture election to elect out of the partnership provisions. The exception to the rule is for those married couples in community property states.
How to handle this is provided in IRC Section 761(f).
The IRS doesn't always provide clear guidance.
*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.
