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Can you verify HOW that LLC is treated for tax purposes?If that a single member LLC classified as disregarded entity?Is that a partnership ? Or the LLC is elected to be treated as a corporation?
So I assume that domestic LLC with at least two members is classified as a partnership for federal income tax purposes.As such - the LLC files partnership tax return on form 1065 - but the LLC itself is not recognize income or loss - instead all losses are passed to partners and reported on K1 statements - correct?
So - that is for each partner how these losses are treated.The LLC itself would not deal with losses that are realized.
Thus - if you are a partner - you receive K1 with your portion of losses - and will use it ion your tax return.
You may not transfer such losses to another person or another entity.
If you are looking for the way to sell losses - that woudl not going to happen...
How specifically losses are treated - depends on type of the loss and your specific circumstances.
That might be capital losses, business loss, passive loss, section 1231 loss (from selling business assets) , etc.