Have Tax Questions? Ask a Tax Expert for Answers ASAP
Are you carrying on the business as a sole proprietor and reporting on Sch C?
You will report $36000 as income to your wife on your personal tax return and as a deduction in your LLC.
It may be beneficial to file joint as your business is not profitable.
Let me know if you have any question.
Please note: This advice is provided with the understanding that all the relevant facts have been provided by you. Any change in facts might affect the advice given and hence may not be relied on in such cases. Nothing contained in this reply was intended or written to be used, can be used by any taxpayer, or may be relied upon or used by any taxpayer for the purposes of avoiding penalties that may be imposed on the taxpayer under the Internal Revenue Code of 1986, as amended.