LLC's and Schedule E Worksheets

[nanycooley07]

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_]

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@nanycooley07 wrote:

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

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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]

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