LLC's and Schedule E Worksheets

Forum|Forum|5 years ago
March 25, 2021
2 replies
25 views

We had an accountant prepare the taxes for our LLC. There is both rental and royalty income associated with this small LLC. There was no Schedule E included with the K-!, yet Turbo Tax is generating one as I prepare my taxes. Turbo Tax says that income from rental real estate and income from royalties must be reported as separate properties on Schedule E. I called the accountant's office and was told that Schedule E's are not used with LLC's.

Anonymous_

Level 15

@nanycooley07 wrote:

I called the accountant's office and was told that Schedule E's are not used with LLC's.

Your accountant is correct; multi-member LLCs report rental real estate income and expenses on Form 8825, not Schedule E.

Your K-1 should contain all of the information you need to prepare your individual income tax return and you will see an entry on Page 2 of your Schedule E for the LLC.

Mike9241

Level 15

the reporting on your return comes from the various line numbers on the k-1. enter them as is. rental income will show up on page 2 of schedule e and any royalty income on line 7 of the k-1 will need to be linked to a column on schedule e page 1

Mike9241