Question on LLC Taxes: Spouses are members and file MFJ individual tax returns

[sandhyaepeter]

What is the name of your state (only U.S. law)? IL

I have a question about filing taxes for my LLC. I understand that if there are multiple members, the LLC taxes cannot be rolled over into individual returns.

Is that true for our case where my wife and I are the only members and we also file Married Filing Jointly individual tax returns? Can we roll over the LLC taxes into our individual return?

Thanks.

[LdiJ]

Originally Posted by sandhyaepeter

What is the name of your state (only U.S. law)? IL

I have a question about filing taxes for my LLC. I understand that if there are multiple members, the LLC taxes cannot be rolled over into individual returns.

Is that true for our case where my wife and I are the only members and we also file Married Filing Jointly individual tax returns? Can we roll over the LLC taxes into our individual return?

Thanks.

The only way that the profits/losses of an LLC would not flow through to the returns of its members, was if the LLC had elected to be taxed as a C-Corp.

The LLC would have to file the appropriate informational return, and issue K1s to its members, but the profits/losses would still flow through.