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California FTB Form 568 through Turbo Tax for LLC?


I just completed Turbo Tax (Federal and State) and e-filed.  I am a California LLC (sole member LLC) and TurboTax did not do a Form 568 for me, which I assumed I need.  (I will do the 3522 form myself).  

Is there a way to go back in and have TT do it (I guess I would mail it in by hand), or do I need to do it myself? (FYI, my business reported a loss in 2010).

Any advice would be greatly appreciated -- or thoughts on anything I may have missed.

    TT Home & Business did not create the CA 568 until 2009, I think. FTB is after me to file 568s going back to 2002, even though I don't owe money. The IRS does not treat a single member LLC as being separate from the individual, so your business is reported on Schedule C. California complicates things by treating all LLCs, regardless of their size, as a separate company. TT did not handle this correctly in the past and now we're paying the price.

    It's no wonder that CA has a reputation for being business-hostile. This is a perfect example, treating the smallest, simplest kinds of businesses the same as ones that can afford to hire tax lawyers and accountants.
    • I also recently received a notice from the IRS that they never received my Form 568 for 2009 for my single LLC. I contacted them and they didn't receive the one for 2010 either. I used TT Home & Business. For some reason, my PDF for 2009 doesn't have the form at all, so I had to re-create it myself (not sure what went wrong, but I did check the Single LLC box so it SHOULD have generated one). The one for 2010 does have it. I didn't know until recently that this had to be mailed in. I assumed (incorrectly) that since I e-filed my return, it would e-file everything. Wrong. For those of you who got this notice last year, did you end up having to pay a fine? I did pay the $800 FTB Tax on time, just didn't file Form 568. The person at FTB that I spoke with said there could be a fine for late filing plus interest, but I'd like to get an idea of how much.Thanks.
    • Just found out I had the same issue - trying to trace back to when Turbo tax started having this issue.
      (It seems to be a bug in their system and I am able to reproduce the error).

      According to their 'guarantee', turbo tax should cover all cost and penalties.

      UPDATE: I've traced the issue to the following turbox tax:  Turbo Tax Home & Business 2010 and Turbo Tax Home & Business 2011.  If you imported the business info from prior returns - you need to go back to the 'easy steps' and click 'edit' for the EIN for the business. This will then offer an option to select single member LLC. Otherwise, it will not generate the form 568.
    • Did they live up to their guarantee?
    • I just got off the phone with a TT representative about this very issue.  The State of California is just now getting to the 2008 business returns and sending out notices to those of us that did not send in a Form 568.  The representative from TurboTax told me that 2008 did not provide the facility for creating a Form 568.  

      Furthermore, they told me that it's MY responsibility to know all of the forms needed to be turned in for my taxes (bet you won't see that statement in any of their advertising), so - basically - tough crap, figure it out yourself.  I have no idea what needs to be put on a Form 568 and, meanwhile, the State of California wants this formed turned in asap or - as the state rep I spoke with put it - they "will go after me".  

      I've used TurboTax since 2006.  Because of trying to do everything right, because of TurboTax's boasting about accuracy, I used their software.  

      Because I used their software, I am now in trouble with the IRS.

      I will NEVER use them again.  They do NOT stand behind their product, and they may have a "accuracy guarantee", but they seem to do their best to not honor it. I have no idea how to fill this form out, so I have no idea what will happen to me with the IRS.  I hope someone else will be able to learn from my misfortune.
    • Yep. Same thing here.  As a single member LLC expected the State to be handled the same as the Fed's.  Misrepresentation as far as I am concerned.
    Yes, TT/Calif has the 568 in it. If it is associated with a Schedule C then you need to check the box on the Calif Schedule C for "Single member LLC". A 568 will then be generated, pulling as much information from that Schedule C as is available.

    If your LLC is associated with rental property(ies) then there is a link field on the Calif Sch E Wks that behaves similarly to the one for the Sch C above.

    In either case the 568 has no effect whatsoever on your Calif individual return and it must be paper-filed.
    • Which TT product will have the Form 568? We only have the personal one. This is for a single LLC, sole-proprietorship (California, community property, rentals, husband-wife).
    • I just got notice from FTB that I have not filed Form 568 as sole member of a California LLC for the tax year 2008. Then i checked on here,
      and sure enough the 2010 TT has the 568, but is missing in my 2008 and 2009.

      Hello TT software personnel and Intuit company as a whole : Why was i not notified by the tax software that there was a need to file the CA568, regardless of which version of the software I used ( personal or professional)?
    • Form 568 - Ditto above poster.  Tax hungry California seems to be on the hunt for penalty revenue.  I received the same notice from FTB as above poster regarding 568.  I hold real estate as single member LLC, and TT never alerted me to the need to file this form.  Yes, ANY advice would be incredible!
    • I started a sole propreitorship in California in 2010.  Why is TT creating a California Form 568 (Limited Liability Company Return of Income) for me?  Shouldn't I be filing California Form 540?

    • I just used TT to do my 2010 return. I've had excellent results with TT in the past, especially to deal with the federal Schedule D, and associated CA state returns. This year, I formed an sole-member LLC to handle risk associated with investment income. (Note: you have to purchase the correct version of TT for it to work correctly, which is Home & Business, Personal & Business version.) As before, TT  2010 handled the results fairly seamlessly, apparently taking information from my federal Sched C form and applying it to the CA 568 form, as well as Form 3522.

      I haven't filed yet; I still have one problem. After using the TT help line, it appears that for my purpose, since I am the sole member, and the LLC isn't my primary income, the profits (or loss) from the LLC can be reported on state and federal Schedule D. I still need to file the federal Sched C, as well as the state Form 568 (with $800 CA tax) and Form 3522.

      This as far as I can determine. It's my first year with this, and the online reference material hasn't entirely confirmed by use and filing with TT 2010. Does anyone know exactly how this is to be done? Am I conforming to the federal and CA state tax code? I might add that TT 2010 has reported that there are no errors with my forms and that I am ready to file.

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