Multi member LLC partnership sale of rental property held in personal name of members

The people and the LLC need legal advice.

And is it too convenient that, now that there is a s ale (with a big gain?), that they inherited it giving rise to a larger basis than what they were using if it had been a gift?

This smells a bit.

now state that the property was inherited after their father passed away...

So what does the will/ estate tax return say?

What have the property tax statements said (as in ownership..) all these years?

Personally, I'd put on my running shoes.

"The rental property has been depreciated during the duration of the LLC existence on the yearly tax return of the LLC Partnership Return."

"Since an LLC can not depreciate property that it does not hold a title to and the sale of the property is in the names of the LLC members it must be handled on their personal returns."

Im so confused.

"the property was never transferred to the LLC on the advise of their attorney." Get a letter from the Attorney with those facts, along with a nice big check for all the time you will now need to commit at the worst time of year.

Get a really big retainer and prepare amended LLC returns with no activity for every year that was filed with improper information. This will also require amended returns for all of the LLC members.   

I would be inclined to put on those sneakers, and run as fast as you can if they are unwilling to correct prior year returns for information that was not shared with you.