Client formed LLC in 2009 with sister to purchase a business. Both invested $15,000 each and then got a loan from another relative to pay for the business.
Business lost more money than it made. Sis said she did not want anything else to do with it.
Bro (my client) said Sis did want a payout on what she invested but this was never done. Don't know if it will be done. Bro said if it was it would be done in the future.
My client is not wanting to put Sis on partnership. Basically isn't wanting a partnership return done with Sis on it. To me I think a partnership return has to be filed with her as a partner. I'll have to look deeper into what kind of partner she would be though.
What do you guys think? I think a Partnership has to be filed until Sis is bought out.
Business lost more money than it made. Sis said she did not want anything else to do with it.
Bro (my client) said Sis did want a payout on what she invested but this was never done. Don't know if it will be done. Bro said if it was it would be done in the future.
My client is not wanting to put Sis on partnership. Basically isn't wanting a partnership return done with Sis on it. To me I think a partnership return has to be filed with her as a partner. I'll have to look deeper into what kind of partner she would be though.
What do you guys think? I think a Partnership has to be filed until Sis is bought out.
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