Hello everyone, I became a member of an LLC in 2008, that was created in 2007. I am having my accountant handle filing the federal and state tax returns for 2008. The accountant who handled them for 2007 did not file a federal return, and the reason he gave was that since the LLC did not make any money, the IRS considers it a "non-existent entity", and therefore a federal return was unnecessary. What he did instead was create a Schedule C for the LLC for the member with a majority share. However, my accountant tells me that this is incorrect, and that even though the LLC did not make any money in 2007, it is still required to file a federal return, and K-1's should have been issued to the 5 partners. I am seeking another opinion on this matter. Could anyone with expertise on the matter share their opinion with me? And, if possible, refer me to the proper IRS Code? Thanks in advance for any help you can offer.