I agree with @Anonymous_ :
- All reporting of the activities will be done on a single form 1065 since the Co A and B are disregarded entities of the LLC.
- Be sure to input the income and expenses in the proper place; Co B is ordinary trade or business and will be reported on page 1 and Co A is a rental and will be reported on form 8825 and then flows to Sch K.
- Also be sure to understand if you have any form 1099 reporting requirements since there is a specific question related to this form.
- I also agree that for the initial year it may be in your best interest to meet with a tax professional to make sure you start out in the right direction. Regardless of the size of the business, penalties hurt and can be time consuming.
*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.
