1120S or LLC

[Brian EA]

Taxpayer has a regular job and makes $110,000 per year. He also has 6 rental properties of which he is an active participant.Since he cannot claim all the losses, he is interested in forming an LLC or SCorp to take care of the rental properties. This I think may be feasible with regards to the Scorp, however I cannot see how the info can get on the LLC as a sole proprietor.
Any advice
thanks
brian

[luke]

LLC as Scorp

tp can form LLC (for "limited liability" protection?) AND elect (FORM 8332) to be taxed as an SCorp - dont understand the comment about sole prop?

[ChEAr$]

Taxpayer has a regular job and makes $110,000 per year. He also has 6 rental properties of which he is an active participant.Since he cannot claim all the losses, he is interested in forming an LLC or SCorp to take care of the rental properties. This I think may be feasible with regards to the Scorp, however I cannot see how the info can get on the LLC as a sole proprietor.
Any advice
thanks
brian

Even if he forms and LLC (AND transfers the properties legally to the LLC), and
whether or not he then elects S corp status, the character of the income is not
changed and flows through to his personal return, with losses still limited.