While it is the goal to provide a response to a question, some questions are just not conducive to being able to be addressed in a forum such as this.
Your response brings up many more questions, and at this point, I agree that you will be best suited to have a one on one with a tax professional.
Having said that, here are some additional questions that will need to be addressed and some comments:
- Based on the facts, your multi-member LLC "contributed" property into another LLC. There are a number of issues that need to be addressed with this step
- Is the "drop down" LLC also a multi-member LLC?
- You indicate that "I" moved property, however, your response indicates that it was a multi-member LLC that actually moved (contributed) the property. Still not comfortable with the facts.
- Based on bullet 2, did the "new" or "drop down" LLC sell the property?
- Are there related parties involved?
- Due to the property being contributed, there are rules that will govern the basis of the contributed property, built-in gain issues, and most likely special allocation of any gain upon sale to the contributing LLC.
Unfortunately, as you can see, regardless of the size of a transaction or business entity, the tax issues can get complicated very quickly. You would be wise to spend the $$ with a tax professional, as any improper reporting could end up costing you way more in tax and penalties; not including your time in dealing with the IRS on the issue.
*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.
