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How can I account for my percentage of ownership (less than 5%) in an LLC that I received a 1099-MISC for? When I entered the data, there was no option for this.

Forum|Forum|4 years ago
April 12, 2022
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I have 4.26786% ownership in an LLC with my family's farm. I received two 1099-MISC forms for the LLC as a whole, and have entered the necessary info into TurboTax. Now I am being taxed on the income of the entire LLC instead of my small ownership amount. How can I remedy this?

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Best answer by Vanessa A

You should not get a 1099-Misc if you are a partner in the LLC, you should get a K-1, so yes, removing the 1099's and adding the K-1 should have you properly reporting your income.

LeonardS

The LLC should have issued you a 1099-MISC for only your percentage share. You should request the LLC to provide you with a corrected 1099-MISC only showing your percentage share.

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userwhwendlandAuthor

My dad just gave me a Schedule K-1 (Form 1065) for the same account. Would removing the 1099-MISC and adding the K-1 solve this problem as well?

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Vanessa AAnswer

You should not get a 1099-Misc if you are a partner in the LLC, you should get a K-1, so yes, removing the 1099's and adding the K-1 should have you properly reporting your income.

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