Single Member LLC Tad Id
Understand a single member LLC needs no seperate tax ID and can report on personal tax return.
What about husband and wife?
Do you set up as 2 member LLC and do you need tax ID and can I still report on joint tax return?
Thanks for any info.
Quote:
On 2004-01-05 21:59, rayh78 wrote:
Understand a single member LLC needs no seperate tax ID and can report on personal tax return.
What about husband and wife?
Do you set up as 2 member LLC and do you need tax ID and can I still report on joint tax return?
Thanks for any info.
As husband and wife, you can obtain a tax ID for your LLC or you can use one or the others SS#. You can still filwe a joint return but reporting the LLC expenses and income as a self-employed business.
FYI, the only return an LLC files is an informational return, and the unit owners then append that return to their own, individual returns, and file same with IRS.
In tax language, an LLC is only a pass-through entity, meaning it passes through its income & losses to its owners, then they each, individually, account to IRS for same.
According to Rev. Proc. 2002–69, the IRS will accept a H&W LLC as either disregarded or as partnership. This ruling technically applies to community property states, but I don't see the IRS caring one way or the other.