Two sole proprietor LLCs and a W2

Forum|Forum|2 years ago
December 15, 2023
4 replies
35 views

Hello! Last year I opened two new sole proprietor LLCs and continued my W2 position. I would like some support while filing, but prefer to do it myself. What software is the best tool for me to use? Thank you!

rjs

Level 15

If you use the CD/Download TurboTax software, the Home & Business edition will give you the most help and guidance for the sole proprietor businesses.

If you use TurboTax Online you have to use Premium. TurboTax Live Premium will give you access to help from tax experts, but you still do your tax return yourself. You can have a tax expert review your return before you file it.

Opus 17

Level 15

For Turbotax Online, you must use the Self-employed version (not Premier). Only the SE version will allow you to enter expenses for your LLCs.

If you buy the desktop version to install on your own PC or Mac, the Deluxe and Premier versions have all the forms, but the Home & Business version is the one that has the most complete interview for guided entry. However, if you find yourself getting lost, the online version can be easily upgraded the Live Assist version, where a CPA can help you go through the steps. I don't believe Live Assist is an available upgrade for the desktop program.

Assuming these are single member LLCs treated as disregarded entities, you will have 2 separate schedule Cs, one listing the income and expenses for each business. Be sure to keep them separate and make sure you are on the correct business before entering your income and expenses.

If these are LLCs with more than one member or if you made an election to be taxed as an S-corp, the answers will be completely different.