How to notify the IRS that I plan to file personal 1099 as a Business?

[Bluemoon2]

My partner and I were doing pretty well on social media monetization, so we decided to set up a partnership LLC to separate the earnings from our personal income. We set up the business in our names, just the two of us, but when it was time to update our social media pages without tax info, we couldn't. First, we couldn't request a change on Facebook. Anyone who's ever dealt with Facebook would know that reaching them is almost impossible. So here we are, in 2024, ready to file our taxes and all our 1099 (totaling $65k) came in our personal names. We tried reaching Facebook for a corrected form again but it's dragging into weeks.

I would like to go ahead and file the 1099 we received as a business then report our earnings in Schedule K-1. My only concern is that the IRS might bother us, but this is our first business filing, and we'd like to know how to handle it.

[SusanY1]

Go ahead and file your partnership return using the income figures from your own records. 

For the 1099s issued to your personal name, you will want to still report this income (on Schedule C or the self-employment section of TurboTax) on your personal return but then list an equal amount as an expense.  The simplest way to do this is to list it as an "other" expense and give it a name that makes sense to you such as "income reported on Form 1065 instead".  

The IRS may ask you about it, but if you can show that you included it on the partnership return (and then transferred that income back to your personal via K-1) that's all you'll need to do.  Also note it's not common for the IRS to ask for detailed information but you should always keep records in a way that it is very easy for you to do so.