Unfortunately OK is not a state whose tax issues I am very familar with. I can say that the members of the LLC will have to file individual tax returns in OK. Most modern tax software will handle this issue easily; you just tell the software that the K-1 is from an OK based company and it does the calculations from there. This is usually a simplified calculation by the software and it can mean you miss some deductions on the state return, but I would only worry about that if the calculated OK tax seems exorbitant compared to the activity. Sorry, I can’t offer much advice beyond that without seeing the actual data. Good luck!
I got conflicting answers on the main newsgroup so I am asking here. If I own a house in another state, do I have to do a tax return and pay taxes in that state?
If the house is in an income-taxing state and there is income generated from ownership of the house, then yes, you do have to file a tax return in the other state. You may or may not owe tax depending on that state and its threshold. What state is the house in? I handle a lot of multi-state issues and I might know off the top of my head what you’d be dealing with…
Re: Out of state property and taxes - Posted by Beth Ruml
Posted by Beth Ruml on August 21, 2003 at 24:12:34:
Appreciated your comments above. I’m trying to figure out whether or not I should domesticate our Oregon LLC in Oklahoma where we are about to close on a property. Would I still need to do OK tax forms? I’m hoping to not create more 1065/K-1 entities, given the expense of creating, maintaining and tax preparing. Plus I want to adhere to the KISS principe without being foolish. Any thoughts on this. Thanks in advance. Beth