Thank you so much for the quick response. I did find the SS-4 which specifies this type of return :
A limited liability company (LLC) may file Form 8832, Entity Classification Election,
and elect to be classified as an association taxable as a corporation. If the LLC is
eligible to be treated as a corporation that meets certain tests and it will be electing S
corporation status, it must timely file Form 2553, Election by a Small Business
Corporation. The LLC will be treated as a corporation as of the effective date of the S
corporation election and does not need to file Form 8832.
HOWEVER, I should have clarified that my wife is commission only and is not W-2. She is an independent 1099 contractor. So last year when we filed we just did so for her being self employed and I am W-2 FTE. Now this year that we have the LLC I'm still unsure how to reflect her 'self employed' income under our newly formed LLC. The only reason we had her checks in her name was because that's how our client had been writing them for years. We got them to switch over to making them out to the LLC name the month or two after the LLC was formed.
So if she is still 1099 can I report that income through our LLC if she is NOT a managing partner? Or should I revise the management structure to make her a managing partner? OR should I setup payroll and treat her as an employee of the LLC so that she can benefit from other government programs like PPP in the future should we need it?
