How do I designate between activity numbers on a partnership depreciation schedule?

[rkblake73]

My single member LLC owns 10 dental offices (so the 10 underlying LLCs are all disregarded, and the activity all rolls up into the single member LLC tax return). However, I want to show the fixed and intangible assets on the depreciation schedule, separated by office names, so I can more easily track the depreciation activity by office (which would be helpful if the single member LLC sells the assets of an office).  I see that I can assign the fixed assets to an "Activity name or number" on the fixed asset entry screen.  However, I can't find where to give the activity a name so it will show on the depreciation schedule as "ABCD office", "EFGH office", etc.  I can enter only a number, but that number doesn't show up on the depreciation schedule.

[Karl]

I think the "Kind of Property" field at the top of Screen 17 may be what you're looking for, code 800.  That's where you can give a name to the rental activity.  Then on Screen 14 for Depr, by selecting From 3 (8825), the Activity dropdown shows the name of your items on Screen 17.

[rkblake73]

Thanks, Karl.  Actually, they aren't rental properties.  They are dental offices.  So I'm trying to figure out how to associate the fixed assets with the various dental practices so they show up on the depreciation schedule grouped together by office.  I called tech support, and they don't have an answer either.  On the depreciation schedule, under Asset Information, General, there is a line which shows "Activity name or number".  Ideally that would be the place where I could differentiate between offices.  Unfortunately, the "name" part of that does not work.  You have to use a number.  And if you use a number, it WILL separate the assets on the depreciation schedule, but won't identify them with that number, so it's hard to tell which office those assets belong to.  But thanks for your effort to help me.

[rbynaker]

If you have a SMLLC and 10 more LLCs that are all disregarded, what are you putting on a partnership return?

[rkblake73]

Since the "mother ship" LLC (SMLLC) is the single member owner of each of the 10 dental offices, none of the individual LLC dental offices files a tax return.  All of the activity from all 10 offices rolls up to the mother ship and is consolidated on the SMLLC tax return.  Each of the 10 dental offices is shown as a "class" in QuickBooks, but the totals column is the amount I use for the SMLLC tax return.

However, I want to track fixed and intangible assets, by office, on the depreciation schedule in case the partners in the SMLLC sell the practice (the assets) of one of the offices, not only for "bulk sale" purposes, but also it's just easier, visually, to make sure I have disposed of all the correct assets.

[rbynaker]

Husband and wife in a community property state?

[rkblake73]

No, four individual guys.

The four individual guys are partners in the SMLLC.  The SMLLC owns each of the individual office LLCs.

The SMLLC does not pay guaranteed payments to the four partners. 

Each of the four individual guys owns a corporation.  The SMLLC pays a management fee to each of the four guys' corporations.  The corporations each pay salaries to the owners of the corporations.

The SMLLC passes thru income or loss to the four individual guys on K-1's.

[Karl]

SMLLC (single-member LLC) with four partners?  Shouldn't that be a MMLLC (multi-member LLC)?  Or am I missing something here?

[rkblake73 · Accepted solution]

Sorry, I misspoke.  No, you're not missing anything, Karl.  The MMLLC is the single member owner of each of the 10 dental office LLCs.