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wolters
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I'm a partner in an LLC based in KS where I live, with property in MO that provides rental income of more than $600. Do I need to file a nonresident tax return with MO?

I live in KS. The LLC is based in KS. The LLC owns duplexes and an office building in MO that provides rental income of more than $600.
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DS30
New Member

I'm a partner in an LLC based in KS where I live, with property in MO that provides rental income of more than $600. Do I need to file a nonresident tax return with MO?

It depends on how the LLC is structured.

No MO state income tax filing -

Multi member LLC - is considered a separate entity and will need to be reported on a separate federal income tax return. If the LLC treated as a separate entity, then the LLC will have a business return filing (1065, 1120, 1120S). You would receive a K-1 and you report your K-1 information on your tax return. You would not need to file an MO nonresident state income tax return to report your K-1 income.

After you receive your K-1, once you have signed into your TurboTax Account (for TurboTax Online sign-in, click Here , then select "Take Me to My Return"), type "K-1" in the search bar then select "jump to K-1

Yes MO nonresident state income tax filing -

Single member LLC - (or husband/wife LLC in a community property taxes and you elect disregarded entity) is considered a disregarded entity for US federal income tax purposes. You will include the rental income and expenses on a Schedule E attached to your personal income tax return and you would report the rental activities for the entire 2016 tax year. Since this rental income is being reported directly on your personal income tax return, you will need to file an MO nonresident state income tax return to report your net rental income on MO located properties only (even though the LLC was created in KS).

You would also need to include this rental income on your KS resident state income tax return but you would get a state tax credit in KS for any taxes paid on an MO state income tax return on this MO-sourced income.

Once you have signed into your TurboTax Account (for TurboTax Online sign-in, click Here , then select "Take Me to My Return"), type "Schedule e" in the search bar then select "jump to Schedule e".

Here is additional information about filing in multiple states (select "see more answer" to view the entire attachment)

 

https://ttlc.intuit.com/replies/3300797


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1 Reply
DS30
New Member

I'm a partner in an LLC based in KS where I live, with property in MO that provides rental income of more than $600. Do I need to file a nonresident tax return with MO?

It depends on how the LLC is structured.

No MO state income tax filing -

Multi member LLC - is considered a separate entity and will need to be reported on a separate federal income tax return. If the LLC treated as a separate entity, then the LLC will have a business return filing (1065, 1120, 1120S). You would receive a K-1 and you report your K-1 information on your tax return. You would not need to file an MO nonresident state income tax return to report your K-1 income.

After you receive your K-1, once you have signed into your TurboTax Account (for TurboTax Online sign-in, click Here , then select "Take Me to My Return"), type "K-1" in the search bar then select "jump to K-1

Yes MO nonresident state income tax filing -

Single member LLC - (or husband/wife LLC in a community property taxes and you elect disregarded entity) is considered a disregarded entity for US federal income tax purposes. You will include the rental income and expenses on a Schedule E attached to your personal income tax return and you would report the rental activities for the entire 2016 tax year. Since this rental income is being reported directly on your personal income tax return, you will need to file an MO nonresident state income tax return to report your net rental income on MO located properties only (even though the LLC was created in KS).

You would also need to include this rental income on your KS resident state income tax return but you would get a state tax credit in KS for any taxes paid on an MO state income tax return on this MO-sourced income.

Once you have signed into your TurboTax Account (for TurboTax Online sign-in, click Here , then select "Take Me to My Return"), type "Schedule e" in the search bar then select "jump to Schedule e".

Here is additional information about filing in multiple states (select "see more answer" to view the entire attachment)

 

https://ttlc.intuit.com/replies/3300797


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