How do I handle an out of state Single-Member LLC filing where I file personal taxes in California?

[Protips44]

I opened a Single Member LLC (taxed as a disregarded entity) in Colorado (using my parents address) but I live and work a separate full time job in California. My LLC mainly just collects royalty checks from digital sales on an online store.

Would this be counted as California income? If so, how do I fill out a California 568 since it seems to want SOS numbers that would equate to a California LLC and not a Colorado LLC?

[DS30]

If you are a permanent resident of CA, then you will report this SMLLC on your CA resident state income tax return just like you would on your federal return as a disregarded entity on Schedule C. Even if the LLC is registered in CO, as a CA resident you will need to report all income from all sources on your CA resident state income tax return.

You do not need to file a CA Form 568 related to your CO registered SMLLC. The CA Form 568 is only for CA registered LLCs.

[Protips44]

Thanks you for the response, that helps clarify some issues I was having with the tax software. Looks like I can manually delete the Form 568 that it keeps thinking I need to handle.

Secondary questions to this: 1. I should not need to report any taxes to CO as the SMLLC is pass-through towards my personal CA tax return correct? 2. I should not have needed to register my business with the state of CA and pay the annual franchise tax that is normally required of CA SMLLCs?