Tax filing questions - Massachusetts

[Vikas Ahuja]

Hi there, my business partner and I have 3 multi families in Massachusetts. For liability purposes, we were suggested that we create individual trusts for all of them (3 in total) and make our LLC as the beneficiary. Since all these 4 entities will have a tax id associated to them, I am trying to figure out if we will need to file taxes for the 3 trusts, or just the LLC.

I understand that I'll probably need an accountant for this but if there is any guidance I can get here, it will be very helpful. 

Thanks in advance, 

Vikas

[Lance Lvovsky]

I am guessing an attorney recommended you that. A separate Tax ID will necessitate separate tax return filings. I would speak to a CPA who can guide you here. The K-1 from the Trust would flow to the LLC, under your proposed structure, with the LLC K-1 then flowing to your individual income tax return.