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California SMLLC-Checkbox to suppress federal return

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California SMLLC-Checkbox to suppress federal return

Kevin G

There should be a checkbox in lacerte to suppress any federal tax reporting for California Single Member LLC's. Lots of diagnostics and the letter refer to Federal stuff that is not applicable. Yes you can check the State only box when printing but seems there should be a simple way to just say it is a single member llc and nothing federal applies. 

Thanks for the suggestion. 

Status: Open for voting
Vote now if this is a good idea
7 Comments
George4Tacks
Level 15

You can generate the SMLLC in Lacerte as part of the 1040 https://proconnect.intuit.com/community/individual/help/lacerte-individual-smllc-frequently-asked-qu...

If you must prepare it using a different module, you can process (print) it as state only. If only efiling state, remove the federal efile checkmark. 

You posted this as a suggestion for improvement, but it likely should have just been a product help question. 

sbcpa18
Level 1

I 100% agree with this!!!

Kevin G
New Member

Yes, you can generate the SM LLC in 1040 but then you lose the visibility of listing all your SMLLC returns and running the risk of missing the separate efile required (as we did). Easier to keep all SMLLC returns grouped together in the 1065 module from a practice management standpoint. 

IntuitGabiU
Community Manager
Community Manager
Status changed to: Open for voting

Thanks for the suggestion. 

JorgeBinCPA
Level 1

Kevin G is 100% correct. There should be an option to suppress the federal return and all references to the federal 1065 return in the PARTNERSHIP MODULE when preparing single-member LLC's. Should be simple to do from a programming standpoint and should have been done years ago.

sjrcpa
Level 15

It would not occur to me to prepare a SMLLC form in the Partnership module because it is not a partnership. Unless you are talking about a partnership that owns an LLC.

JorgeBinCPA
Level 1

An LLC is not an individual either, so it doesn't fit there as well. For state it is a separate entity that is required to file tax returns and other documents. There's no perfect fit anywhere, but it makes more sense in the partnership module more than anywhere else, as the state forms are the same whether it's a single-member or multi-member LLC. It also makes sense for taxpayers that own more than 3 LLC's, as the individual module is limited to 3 LLC's I believe.

For preparers with REP packages that won't be charged for the additional business return, it makes sense to prepare SMLLC's in the partnership module. Besides, there's no harm to add the option to suppress the federal. Those who prefer the individual module aren't affected.

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