Question

LLC For Farm Business Schedule C or F

Forum|Forum|2 years ago
April 6, 2024
1 reply
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I have a part time farm I have filed under my own name as a schedule C. I have lease income and income from selling honey. Last year as we got bigger, I created an LLC for the honey Business. Should I file the honey busines LLC in one and expenses on the same Schedule F as my other farm income and expenses or a separate schedule F or Schedule C.

TurboTax Home & Biz Windows

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DianeW777

It depends. If your LLC is considered a single member limited liability company (SMLLC) then it is considered a disregarded entity by the IRS. This simply means you report the income and expense on your personal return. If this describes your situation continue to report your activity on Schedule C. I see no reason to change your method of reporting since the creation of the LLC.

If you did choose to use, create an S-Corporation or other entity, then you must file the 1120-S or relative tax form and distribute the income to yourself on a K-1.

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Bdodd444Author

Really appreciate the response. I wasn't sure if I would do Schedule F since it is an Agriculture business, but this helps a lot. I think my next challenge is since most of my previous farm income was from the honey business, will my normal farm expenses now exceed my rental income that is not part of the LLC. Thanks again.