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#2230501 - 02/07/20 05:33 PM Loan to SMLLC without an EIN, using member's TIN
CML LHS Offline
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CML LHS
Joined: Oct 2014
Posts: 18
WA
We have an SMLLC that holds real estate, but is a disregarded entity under a Living Trust (complex trust), and does not have an EIN. Can I still make the loan to the SMLLC but using the trust's EIN? Or is this similar to a sole proprietorship where the borrower should be the proprietor (in this case the trust), and the grantor/collateral owner is the SMLLC?
Thank you in advance for your advice!

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#2230531 - 02/07/20 06:27 PM Re: Loan to SMLLC without an EIN, using member's TIN CML LHS
rlcarey Offline
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rlcarey
Joined: Jul 2001
Posts: 78,922
Galveston, TX
I would be treated like any other SMLLC. If the trust is treating it as a disregarded entity, you would use the trust's EIN for the loan to the LLC.
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#2230542 - 02/07/20 07:15 PM Re: Loan to SMLLC without an EIN, using member's TIN CML LHS
CML LHS Offline
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CML LHS
Joined: Oct 2014
Posts: 18
WA
So to confirm, the borrower is the SMLLC using the EIN of the trust. The W9 they sign reflects the SMLLC and the Trust EIN. Then opening the checking account I can use that EIN for the SMLLC also. What if I already have a checking account for the Trust? Same EIN and two different names/customers?

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#2230557 - 02/07/20 08:38 PM Re: Loan to SMLLC without an EIN, using member's TIN CML LHS
rlcarey Offline
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rlcarey
Joined: Jul 2001
Posts: 78,922
Galveston, TX
No different than me, who has Carey Consulting LLC which is a disregarded entity. My LLC has no EIN and it uses my SSN.
_________________________
The opinions expressed here should not be construed to be those of my employer: PPDocs.com

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#2230562 - 02/07/20 08:49 PM Re: Loan to SMLLC without an EIN, using member's TIN rlcarey
CML LHS Offline
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CML LHS
Joined: Oct 2014
Posts: 18
WA
Perfect! Thank you so much!!

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