jc-taxquestion
Member
Hi there!
Here's my situation:
LLC "A"...... taxed as an S-Corp (I run payroll, etc).... makes about $40k/year in royalties
LLC "B"...... plain-ole LLC (pass through).... makes about $70k/year in royalties
Here's what I want to do:
I want to move all the assets from LLC "B" into LLC "A", and fully dissolve LLC "B" so that all the royalties are under the S-Corp and I only have to deal with one payroll, one tax return, etc.
My Question:
Other than submitting the state's LLC dissolution paperwork, is there anything else I need to do?
For example:
1) Do I need to officially "sell" the assets from LLC B to LLC A? If so, can I set the sales price at whatever I want it to be? (For example, $1?)
2) Do I need to do anything at the federal level, for example do I need to close down my EIN number somehow? (If so, how?)
3) Do I have any tax liabilities at the federal level? Since LLC B was always a pass-through entity, the income shows up only on my personal return anyway, and of course I'll continue to file a personal tax return each year.
Here's my situation:
LLC "A"...... taxed as an S-Corp (I run payroll, etc).... makes about $40k/year in royalties
LLC "B"...... plain-ole LLC (pass through).... makes about $70k/year in royalties
Here's what I want to do:
I want to move all the assets from LLC "B" into LLC "A", and fully dissolve LLC "B" so that all the royalties are under the S-Corp and I only have to deal with one payroll, one tax return, etc.
My Question:
Other than submitting the state's LLC dissolution paperwork, is there anything else I need to do?
For example:
1) Do I need to officially "sell" the assets from LLC B to LLC A? If so, can I set the sales price at whatever I want it to be? (For example, $1?)
2) Do I need to do anything at the federal level, for example do I need to close down my EIN number somehow? (If so, how?)
3) Do I have any tax liabilities at the federal level? Since LLC B was always a pass-through entity, the income shows up only on my personal return anyway, and of course I'll continue to file a personal tax return each year.