Sign Up

Why sign in to the Community?

  • Submit a question
  • Check your notifications
or and start working on your taxes
cancel
Showing results for 
Search instead for 
Did you mean: 
1mdaugs
New Member

which turbo tax do i use

what tt do i use if i have several llc's, a home and hold notes against some houses?

1 Best answer

Accepted Solutions
tagteam
Level 15

which turbo tax do i use

If the LLCs are single-member LLCs operating active trades or businesses (rather than set up for just holding title to rental real estate that generates passive income), the you need TurboTax Self-Employed to prepare your return online.

 

If you want to use a desktop (installed) product, then you can use TurboTax Deluxe or higher since the desktop versions include all of the forms.

 

If one (or more) of your LLCs are multi-member LLCs, then you likely need to file Form 1065 and will need TurboTax Business which is capable of preparing tax returns for entities (but not individual income tax returns). However, if you have never prepared an income tax return for a pass-through entity and/or have no familiarity with accounting for such entities, you might want to seek professional tax guidance.

View solution in original post

3 Replies
tagteam
Level 15

which turbo tax do i use

If the LLCs are single-member LLCs operating active trades or businesses (rather than set up for just holding title to rental real estate that generates passive income), the you need TurboTax Self-Employed to prepare your return online.

 

If you want to use a desktop (installed) product, then you can use TurboTax Deluxe or higher since the desktop versions include all of the forms.

 

If one (or more) of your LLCs are multi-member LLCs, then you likely need to file Form 1065 and will need TurboTax Business which is capable of preparing tax returns for entities (but not individual income tax returns). However, if you have never prepared an income tax return for a pass-through entity and/or have no familiarity with accounting for such entities, you might want to seek professional tax guidance.

View solution in original post

TC79
Level 1

which turbo tax do i use

The wife and I own and operate an LLC cleaning business. We are a small business working in one state. I did purchase Turbo Tax Home and Business. Did I purchase the right product to do both personal and business taxes. Or, do I need to purchase another program that will handle both in one.

DawnC
Expert Alumni

which turbo tax do i use

You will need the Home and Business to do your personal tax return, but you will also need to use TurboTax Business to file a Form 1065, Partnership tax return in addition to your personal return since you said you have an LLC.  Unincorporated businesses owned by a husband and wife can make an election to be treated as a qualified joint venture and file taxes on Schedule Cs on their personal tax return.   But if your business is registered as an LLC, you cannot make that election.   Your business, if registered as an LLC) is treated as a partnership for tax purposes.   Unless you are in a community property state.....

 

If you are in a community property state, you treat the entity as a:

  • Disregarded entity for federal tax purposes, the Internal Revenue Service will accept the position that the entity is disregarded for federal tax purposes. 
  • Partnership for federal tax purposes, the Internal Revenue Service will accept the position that the entity is partnership for federal tax purposes.

A change in the reporting position will be treated for federal tax purposes as a conversion of the entity.  A business entity is a qualified entity if;

  1. The business entity is wholly owned by a husband and wife as community property under the laws of a state, a foreign country, or possession of the United States;
  2. No person other than one or both spouses would be considered an owner for federal tax purposes; and
  3. The business entity is not treated as a corporation under IRC §301.7701-2.   @TC79
**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
Privacy Settings
v