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Level 1
posted Mar 11, 2021 9:50:42 AM

My multi-member LLC is incorporated in Delaware, but my home address is in Massachusetts and I go to school in Indiana. How do I file?

My LLC is registered in Delaware and we pay franchise tax there. My home address is in Massachusetts. However, I go to school in Indiana for 9 months out of the year and pay rent there. The other member lives in MA and goes to school in NH. Our business is 100% online - we do not have any business expenses relating to physical products or services. I assume I will need to pay MA income taxes because that is the location of my residence. Do I need to file a LLC return in MA or DE? How does Indiana fit into the situation since I am there for most of the year?

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3 Replies
Expert Alumni
Mar 11, 2021 10:52:28 AM

You say your home address is Massachusetts. 

 

If you are only in Indiana for school and maintain your residency in Massachusetts, then your LLC income will be reported to and taxed by Massachusetts.  You can use TurboTax Business to prepare your Federal and state LLC returns.  They are due March 15, 2021.

 

If you are only in Indiana for school, it is irrelevant to your income tax situation unless you work and have income earned from Indiana sources.

 

DELAWARE LLC ANNUAL REPORT AND PAY BUSINESS ENTITY TAX  Tax is due by June 1st.

Level 1
Mar 11, 2021 10:54:14 AM

Do I need to report the LLC income to Massachusetts if the LLC is not registered in MA?

Expert Alumni
Mar 11, 2021 3:00:35 PM

You are correct, you do not need to file a Massachusetts Form 3 return.  The net income will flow through on the Form K1 from the Federal Form 1065 return and end up on your Massachusetts personal individual tax return.