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Fixed Assets and UltraTax CS 2023 help is now on Help and Support. We're still moving articles, but you can find most content for the 2023 tax year there. Continue using the Help & How-To Center for tax years 2022 and older.

Adding a limited liability return (Form 568)

To add Limited Liability, Form 568 to the California return, choose File > Client Properties > California tab and mark the Form 568 Limited Liability Company checkbox in the Other return(s) section. This will allow for fully calculating return, extensions, filing instructions, and grouping of multiple federal activities into a single Limited Liability Company (LLC) activity. The LLC input screens are located in the Limited Liability folder. To create an LLC unit, enter a state use code 3 Form 568: CA and unique Secretary of State (SOS) account number in the State use code statement dialog in federal Screen C, Rent, F, 4835, or K1. All federal activities with an identical account number are included in a single LLC activity unit. All account numbers must be 10 or 12 digit numbers with 19 or 20 as the first two digits. An LLC unit will not create when an invalid number is entered. If an LLC does not have an assigned number yet, enter None in the State number field.

Creating an LLC return with no federal activity

If there is no associated federal activity, in Screen CALLCGen, enter X in the Create an LLC with no federal activity field and enter a valid SOS number in the LLC account number field. Only the Social Security number and address default to federal data entry. All other data entry must be completed in the California LLC input screens. The name and Social Security number default to taxpayer unless indicated that the LLC owner is the spouse in Screen CALLCGen.

Removing a federal activity from an LLC

When a federal activity no longer exists with a California account number, the LLC unit is retained. To keep the unit as a state-only activity, enter X in the Create an LLC with no federal activity field. If the LLC no longer exists, choose Edit > Delete Screen Data in Screen CALLCGen to delete the activity.

Adding a federal activity to an LLC

Enter the appropriate account number in the State use code statement dialog in the corresponding federal Screen C, Rent, F, 4835, or K1. When an LLC activity already exists with that account number, the federal data begins transferring to the LLC. The Create an LLC with no federal activity field is cleared and disabled and the Activities included in LLC statement dialog displays the federal activities. All other data entry in the LLC input screens is retained.

Grouping multiple federal activities into one LLC

In the State use code statement dialog in the federal screen for the activities to be combined, enter code 3 Form 568: CA and None in the State Number field. All activities with identical text are combined in a single LLC activity. "None" appears in the LLC input screens; the state form fields for account number are blank. To add more than one LLC unit with no account number, enter None 1, None 2, etc. for each LLC.

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