Problem with Single Member LLC disregarded box - Form 568

[ricgongar]

Hi,

I am reviewing the taxes for our LLC, due this Monday 3/16/2020. I am using TurboTax Business. My wife and I are the members of the LLC, so it is NOT a Single Member LLC.  However, when reviewing the taxes for final e-filing I am getting an error saying that I need to check the Single Member LLC box.

Did I do something wrong somewhere so that Turbo Tax is thinking that this is a SMLLC? Earlier in the form, I stated line K that the LLC has 2 members.

Does anyone have an idea of what is the problem?

I will appreciate your help.

[DianeC958]

If you are a 2 member LLC you cannot file the form 568 for the state of California with your personal return.  A 2 member LLC would need to file form 1065 with IRS and the form 568 with the business return.

Since you live in California, which is a community property state, filing as a single member LLC your spouse still is a 50% owner of the business. 

To file with you personal return you will need to check the box as a SMLLC.

[ricgongar]

Diane,

Thanks for your response. This is exactly what I am doing. I am doing the business return with form 1065 for the LLC and the tax return will also include form 568.

So, I do not know with Turbo Tax business is asking me to check the SMLLC box.

Any idea?

[DianeC958]

No, since it does not apply to your situation you can go ahead and file your business return without the box being checked.

[ricgongar]

Thank you. Is there any way to do so  that Turbo Tax proceeds without that checked. hen trying to e-file, it does back into 

- We Need to Make One More Check

and then, asks me to

- Check the Single Member LLC box

So, it is going in circles.

Any idea?

Do you know it Intuit/TurboTax has a support line that I can contact?

[RobertG]

To contact an expert in TurboTax you should schedule a callback:

To schedule a callback, click on 'Help' in the top of your screen on the right.

Then select 'Contact us'

Then 'Talk to a person'

The expert will be able to see your TurboTax screens to guide you screen-by-screen and offer advice.

[sailakar]

Did this problem ever get resolved. I get the same error.

[ReneeM7122]

You should be filing form 1065 (Partnership) so the LLC will distribute a K-1 to both you and your spouse.  Then the software will stop thinking that you are filing your LLC as a SMLLC.  If you have a schedule C, and only one Schedule C, this can be the issue.  You can fie two schedule Cs instead of 1065s if you prefer, and if you have been filing that form in the past. 

@sailakar