Why the change?

[SueBaby]

Have client for 4 years as a business of repairs autos on Sch C. This year he comes in and said he went LLC. I have always put everything he does on that Sch and nothing ever changes but his figures throughout every year.

Do I do any changes on his Sch C or otherwise any where else since he went LLC? His wife is a nurse and her name has never been on this business of his. This year nothing change either, why he went LLC don't know. He has no wages for no one either just him that is all. Just asking about any changes this year from all the other years???

[JohnH]

You can probably treat his LLC as a disregarded entity, which means he still reports his income & expenses on Schedule C. The advantage of this arrangement is that he gets some limited liability protection with the LLC while still filing as a sole proprietor for tax purposes. This assumes he set the LLC up properly and that he is the only member of the LLC.

[ChEAr$]

Change to LLC

Have client for 4 years as a business of repairs autos on Sch C. This year he comes in and said he went LLC. I have always put everything he does on that Sch and nothing ever changes but his figures throughout every year.

Do I do any changes on his Sch C or otherwise any where else since he went LLC? His wife is a nurse and her name has never been on this business of his. This year nothing change either, why he went LLC don't know. He has no wages for no one either just him that is all. Just asking about any changes this year from all the other years???

If this change from proprietorship took place during the year, you'll need two schedule c's,
one before and one after. Remember, an LLC is a legal organization.

[SueBaby]

If this change from proprietorship took place during the year, you'll need two schedule c's,
one before and one after. Remember, an LLC is a legal organization.

This happened in Feb. but what would I put on another sch c---the same thing? He is the only one of the company. Never had this on such a 'little' business before.

[Roland Slugg]

Agree with JohnH

If the LLC is a SMLLC, it is a disregarded entity, which means exactly that ... disregard it for tax purposes. Use a single Schedule C as in the past.

[SueBaby]

If the LLC is a SMLLC, it is a disregarded entity, which means exactly that ... disregard it for tax purposes. Use a single Schedule C as in the past.

Thanks alot I was confused. At the end I usually am.

[taxmandan]

Only change would be putting the LLC EIN number on the Schedule C. One Sch C as always.

[SueBaby]

Only change would be putting the LLC EIN number on the Schedule C. One Sch C as always.

Thanks that is what I done. Whew! almost finished.