Carl,
Sorry for the delayed response. I was under the weather and then work became insane.
So far one Turbo Tax expert told me that I just needed to do it under my personal taxes, as I was trying to do it as a "small business owner" (because that's what we are) under "rental property". So that's the route I started to go down. Then I ran into the same question about, basically, how much is the property worth since it's paid off and deeded to the LLC. That's I clicked the live help button again, got a call from another Turbo Tax tax advisor who told me that I was wrong and had to do it through Turbo Tax business, get a K1 and then that THAT back to my personal tax.
Last year we had H&R Block do things (we weren't happy with their service, so decided to do it on our own) and we ended up owing more to the government through our personal taxes because of the business because of something about how if flows through to our personal taxes- but I'm not sure how they did it. I might have to take a closer look at their documents again- it's not in "English", lol.
I'd rather just do it through our personal taxes. At the end of the day, we lost money due the fact that we didn't rent it until halfway through the year, HOA fees, repairs, and appliance costs. I'd rather not spend more than we have to.
So what ever advice you can give would be great.
As to why we have a Partnership LLC vs just renting it out as ourselves- it was recommended because our properties (used to have 2, but sold one off and plan on selling this one off eventually) including our personal property. The recommendation here was to have the LLC protect us should we ever get sued because our property, rental or personal, was now an attractive asset for an attorney to go after because no bank held the deed. So that the money would flow through, or from (as we put money in for repairs, buying property, etc) us as individuals, but the property would be protected.
Just for note, we don't get a "salary" from the business. The intention is to save the money, us it for expenses or to buy properties. So we don't use it as personal income. Any money we make stays in the bank. If it needs money, we've put personal contributions in.
