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Updated almost 7 years ago,
Dissolving a rental property LLC - property owned by partners
Question about 1065 alert asking to report dispose of property since 2017 1065 reporting will be the final. We are a dissolving residential rental LLC.
Background:
I have 2-partner (50% - 50%) LLC for a rental property. The rental property (Building) was never legally transferred to the LLC, but depreciation was reported throughout the years on the 1065 return. We also depreciated, Electric panel upgrade and the replaced boiler. Prior to the LLC we were splitting and reporting rental income/loss and depreciation using forms 4562, 8586 and schedule E with the 1040.
After the final 2017 1065 return, we will go back and report income/loss, depreciation, etc. using the old method until we decide to sell the building.
How can I report that the property is not disposed or sold and yet be able flag the 1065 as the final one?
I cannot get around this one when running the alert on tax act software. Any help will be greatly appreciated.
Regards/Raul