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New Member
posted Mar 31, 2021 7:28:08 AM

Change from a LLC to Independent Contractor

I am planning this year 2021 to change my current LLC to Independent contractor. What do I need to do?

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3 Replies
Expert Alumni
Mar 31, 2021 7:32:49 AM

There is nothing to do for tax purposes when making this change.  An LLC is a legal designation.  As either an LLC or an Independent Contractor, you are still Self-Employed and filing a Schedule C.

New Member
Mar 31, 2021 7:49:46 AM

In Turbo Tax do I need to change/remove the current business LLC name and input any 1099 Misc in my name only?

Expert Alumni
Mar 31, 2021 7:53:32 AM

If you wish to no longer use the business name, just go back to using your own. An LLC is a disregarded entity for the IRS, meaning as no as you are taxed on Schedule C, they see no difference between a single member LLC and a sole proprietor.