| Author |
Previous Topic | Next Topic |
|
Hustler12
1017 Posts |
 Posted - 06/09/2008 : 6:28:28 PM
|
Maybe this is a stupid question but I haven't had a SE borrowe go full doc in so long, maybe I am rusty...
Borrower adjusted gross (line 37) is 249k/per year on his 1040s. However, he doesn't file a Schedule C. He has his taxes done by a Tax Preparer not a CPA so I can't get a CPA letter. He does have a business license but works from out of the house under a LLC.
So, is the business license good enough? He works in Energy and does not have Yellowbook, website etc. Or, what else can I show?
Thanks for the help! |
|
liverichly
3653 Posts |
Posted - 06/09/2008 : 6:30:23 PM
|
| I think the biz license should be good enough, but I think the fact that you are showing 2 years of tax returns shouldn't need any additional verification of the business. |
|
|
Hustler12
1017 Posts |
Posted - 06/09/2008 : 6:34:42 PM
|
| Shane - I'll email you offline. thanks. |
|
|
dtabar
700 Posts |
Posted - 06/09/2008 : 6:35:00 PM
|
| Biz license will work. UW's don't like CPA letters too much anymore. |
|
|
Hustler12
1017 Posts |
Posted - 06/09/2008 : 6:37:28 PM
|
| That's what I was thinking too about the CPA. It's just that he doesn't have the schedule C and he is also not listed anywhere for business other than the business license. |
|
|
bruce123
8 Posts |
Posted - 06/09/2008 : 8:45:52 PM
|
| I agree with dtabar, biz license and tax returns will suffice, for certain. A Schedule C should not have been filed as they are for Sole Proprietors. The IRS does not have a Schedule Designated specifically for an LLC to complete, however, they are most similar to a General Partnership and usually an LLC will use a FORM 1065 US Return of Partnership Income. On Line 22 of the 1065 will be the Ordinary Business Income or Loss, then see the top section, part I an in indian of 1065 which tells number of K-1"s attached (number of partners)and there should be a K-1 showing your borrowers % of ownership in the LLC and his/her appropriate distribution of profit. This figure then flows thru to the 1040 Line 17 and is considered as a Schedule E Other Income. Your good to go, if not email me. |
|
|
rtrefflich
2634 Posts |
Posted - 06/09/2008 : 9:49:50 PM
|
| We've done similar situations and the K-1 along with the 1040 work |
|
|
Hustler12
1017 Posts |
Posted - 06/09/2008 : 10:09:03 PM
|
Bruce - thannks for the info and insight.
Oh, and welcome to the Post! |
|
|
| |
Previous Topic | Next Topic |
|
Search for: 
