LLC给交税带来的麻烦

Here is a typical situation:

1. hu*****and & wife rental LLC in a community property state, created to provide liability shield as recommended by so many textbooks.

2. One spouse has another full-time job. The other spouse is fully in charge of running the rental business, which has accumulated enough hours that meets the time criteria of "a real estate professional".

3. Family adjusted gross income is over 150K (the $25k deduction phase out).

With LLC holds the title of the property, it seems NOT possible for the spouse to elect as "a real estate professional". In the end, the rental activity can only be treated as passive and the rental loss can only be used to offset the passive portion of the family income.

Is my understanding above correct?

 

所有跟帖: 

llc on title还不可以算business income??我没有llc也不可以的。难道都是150k的错? -Nonsense123- 给 Nonsense123 发送悄悄话 Nonsense123 的博客首页 (0 bytes) () 04/02/2012 postreply 18:27:24

到底什么是passive income?那些income算? -Nonsense123- 给 Nonsense123 发送悄悄话 Nonsense123 的博客首页 (0 bytes) () 04/02/2012 postreply 18:31:45

Piercing the corp veil -LaoWong- 给 LaoWong 发送悄悄话 (377 bytes) () 04/03/2012 postreply 14:09:07

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