File Form 740-PTET for Single Member LLCs
The Kentucky Department of Revenue doesn't accept 740-PTET electronically filed with individual returns; only with business returns. Single Member LLCs should file Form 740-PTET using UltraTax CS/1120 instead.
The following steps assume you have a 1040 client that's a single member LLC filing a Schedule C, including income on Form 740/740-NP, and filing Form 725.
- Create an 1120S client in UltraTax CS and add Kentucky as a state.
- InShareholder Information, enter the LLC's single member as the sole shareholder.
- On the Kentucky tab, selectSingle member individually owned LLC disregarded for federal tax.
- Select OK to save.
- In the federal input screens, go to the General folder and enter business information on the1120screen.
- On theContactscreen, enter the single member as the Authorized Signer.
- If applicable, enter account information on theBankscreen.
- In the Electronic Filing folder, go to theELFscreen and complete:
- File this return electronically
- Suppress creation of: Federal electronic file...
- Signature date
- PIN authorization indicator
- Taxpayer PIN of...
- ERO PIN of...
- Use screens in theIncome & Deductionsfolder to enter the LLC's income, deductions, and related information.
- Go to the Kentucky input screens.
- In the General folder, use theKYGenSscreen to enter:
- Kentucky account number
- Kentucky business code
- Principal activity in KY
- LLC
- In the KY Electronic Filing folder, markSuppress Form PTE or Form 720 electronic file...on theELFscreen.noteThis is because weonlywant to file form 740-PTET.
- In the Pass-through Entity folder, go to theKYPTEscreen and markElect to file and pay pass-through entity tax.
- Finalize and e-file the return.
