tax question

[unh_hockey]

I normally don't solicit advice, but I am unemployed and don't want to shell out big bucks so i'll try here first.

I was part owner of an LLC that no longer exists (as of 2010) . The plan is to file DBA myself reporting guaranteed income for the feds/state, with standard business deductibles for work. My question is this ; will I still need a K 1 form from my old business partner even if the LLC is gone?

Yeah I know asking on a hockey forum is weird, but I know we have some lawyers who might have a quick answer for this. If its more complicated, i'll look elsewhere.

thanks in advance!

 

[Hammer]

Re: tax question

The first place to look is the 2009 tax return for the LLC. There is a box near the top of Form 1065 (the tax return for partnerships) marked "Final Return". If that box is checked, then there will be no K-1 for 2010, obviously. If that box is not checked, I would make sure a 1065 for the LLC is filed for 2010, marked "Final Return". If there is no activity for the LLC, so be it, and report accordingly. At that point you would probably file a Schedule C on your personal return for your business activity for the year.

Just to point out, in your original post you were vague in that you stated that the LLC no longer existed as of 2010. Does that mean that the LLC terminated sometime in 2010, or there was no activity in 2010? That's a big question there. That needs to be answered before you can get a proper answer to your question, and that is why I would start by looking at the 2009 filing.

 

[unh_hockey]

Re: tax question

Some more background is needed : the guy who currently owns the company lost all the original agreements and is 100% unreliable. Him providing the K-1 is laughable, and legal action will likely have to ensue...something I wish to avoid.

I left the LLC in 2010,and gave up my shares of the company. I honestly couldn't tell you if it was technically terminated or not, the kid has literally fell off the face of the planet, and I do not see acquiring ANY documentation from him.

So it sounds like a 1065 (k-1) will need to be made, but maybe thats something I can do as a former-part owner. With 0 stake in the company at present, I was just thinking about counting my income as guaranteed payments ( item 4).

More due diligence on my end is needed. Thanks for the reply!

 

[St. Clown]

Re: tax question

Your local IRS office can offer help. They have an agent whose job it is to work with people who have questions, need some advice, get copies of documents, etc. Check their site, and if you get in there this month, it shouldn't take long. The worst they can do is suggest you talk to a tax advisor (H&R Block type guy) or tax lawyer. Chances are fair that the IRS will help you. Ever since 2002(?) they've been required to be more helpful than in years past.

 

[leswp1]

Re: tax question

I normally don't solicit advice, but I am unemployed and don't want to shell out big bucks so i'll try here first.

I was part owner of an LLC that no longer exists (as of 2010) . The plan is to file DBA myself reporting guaranteed income for the feds/state, with standard business deductibles for work. My question is this ; will I still need a K 1 form from my old business partner even if the LLC is gone?

Yeah I know asking on a hockey forum is weird, but I know we have some lawyers who might have a quick answer for this. If its more complicated, i'll look elsewhere.

thanks in advance!

No answer to your question but I get better answers on here about a variety of things thean anywhere else.

 

[unh_hockey]

Re: tax question

No answer to your question but I get better answers on here about a variety of things thean anywhere else.

one of the things I have always been thankful for is the diversity of each of the online forums I post on. While you have to filter the trash sometimes, there are a lot of well to do qualified individuals out there who know their shiat.