AboutGlenn D Schnabel Expertise I can answer most federal individual income tax questions.
I can not provide legal advise.
Experience I have worked for a CPA firm for over 11 years.
I have worked in private as well as government
I have recently been running a tax preparation office, mainly focusing on
individual income taxes
Organizations I have been affiliated with managing condo associations and as a member of a coalition to educate condo owners as to their rights and responsibilities.
Education/Credentials I have my B.S.B.A in Business Administration . Concentration in Accounting
I have gone to yearly tax seminars and have tried to keep up with the
evolving tax changes
Awards and Honors Over my years I have received local awards for contributions to worthy
organizations.
Past/Present Clients This, of course remains confidential
Question I have invested $50,000 in an LLC. The operating partners refused to provide me with a K-1 as there has been "no activity." Is there a legal requirement to provide me with a K-1?
Answer Virginia,
If you invested on an LLC, they are still required to file a return, even though there may be no P & L activity. If they spent the money you invested, then they have to provide you an accounting, irregardless whether you have no K-1 to report. Maybe they started to spend the money on Jan 1 after they closed their books for 2008?
Refusing to provide you information after you invested $50,000 with them, is not a good omen.
Legally, I can not say. I am an accountant and not a lawyer.
Ethically, they should provide you with information , whether it is in a form of a K-1 or not. You still are an investor.
