[McLovin]

This issue seems to cause so much confusion. I think the tax treatment is fairly straightforward, but I can't figure out how to handle this in Turbotax.

Husband and wife own a rental property, held in an LLC, in a community property state. H and W are the only 2 members of the LLC, 50/50.

The first issue is whether this LLC can be treated as a single member LLC for tax purposes. So that a corporate or partnership return doesn't need to be filed, i.e., the LLC is "disregarded" for tax purposes.

That seems pretty clear - a H and W LLC in a CP state can be treated as a single member, disregarded entity LLC.

From the IRS:

"You are husband and wife residing in a community property state and the only two members of a Limited Liability Company (LLC).

Under Revenue Procedure 2002-69, you have the option of treating the LLC as a multi-member LLC or as a single-member LLC. "

But how is this handled by Turbotax? For the life of me, I can't figure it out. The problem is Turbotax doesn't seem to recognize the above situation, i.e., one where you have an LLC with 2 members, but it is treated as a single member LLC. At least I don't see it.

Any help greatly appreciated!