I have an LLC for my mobile notary business. My wife wants to start a grooming business. If she starts an LLC of her own, could we still file our taxes jointly? Would it become too complicated, and better off filing separately? Is having two different LLCs equivalent to the process of just having two different W2s, or is it completely different?
Yes, you can each have an LLC. Each would be taxed as a disregarded entity, and reported on a Schedule C. You would have a separate Schedule C for each entity, and could file married joint or married separate, whichever you choose.
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Answered by: James F. DiFilippo, CPA, is the owner of DiFilippo & Company CPAs in Toughkenamon, Pa.