What is the name of your state? CT
Situation: Married filing Ch. 7 alone, pro se. My spouse owns a single member LLC, for tax purposes -- Sole proprietor. I am on the Secretary of State filing as the only member. Sales tax reg. in both our names. After the filing with state, we decided it would be best to put the business in his name only. Since it looked like I would need to file bk. I do the sales tax returns and financials. It is a home-based business less than a year old and not yet profitable. The business has no debt, just invenory. Capital account is my husband's; he contributed all the funds. Question: if I remove myself and place him as the member will it be considered a transfer of property? Raise a red flag? If I don't remove him, do I have to report the business as mine and follow up with the necessary paperwork even though the business for tax purposes in under his social?
Appreciate any advice. Y'all have been most helpful.
