Couple both work the farm, but have a loss this year. They both want to pay Social Security on the option. When I fill out the Sch F and mark "joint" the software automatically brings up two Sch SE's. Is this enough to elect a qualified joint venture, or do I have to prepare two Sch F's with divided income and divided expenses. I also would like to efile, will this go?
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depends on whether the taxpayers are in a community property state or not. -
No, couple lives in Missouri. I searched on forum, and found only responses at the first of the year, which stated I would probably have to do two Sch C's. Just wondering if things had changed.Comment
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Maybe this will help: from TTB page 5-7
Husband and wife business — New Law: : Beginning in 2007, a
qualified joint venture whose only members are a husband and
wife may elect not to be treated as a partnership for federal tax
purposes. A joint venture is qualified if:
1) The only members of the joint venture are husband and wife,
2) Both spouses materially participate in the trade or business,
and
3) Both spouses elect to have the provision apply.
All items of income, gain loss, deduction, and credit are divided
between the spouses in accordance with their respective interests
in the venture. Thus each spouse would account for his or
her respective share on Schedule C of Form 1040. For purposes of
determining net earnings from self-employment, each spouse’s
share of income or loss from a qualified joint venture is taken into
consideration and is separately reported on the corresponding
Schedule SE of Form 1040.Last edited by Gene V; 09-16-2008, 09:53 PM.Comment
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Curious...how does one make this election?Comment
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By filing 2 Schedule Cs instead of a 1065. That is the purpose of the "election", to get/allow people to start filing joint ventures legally.Comment
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