Hello!

I have a client who has two rentals.  2023 reported on Sch E.  In 2024 set up an SMLLC and is actively renting property as a business and separately sells homes as a real estate professional.  Given the new SMLLC and the purpose of renting property as a business, it seems the rentals should be on Schedule C.  Do you agree?

If so, do you recommend setting up each rental as it's own Schedule C (with same EIN) so that the depreciation schedules can be kept separate by property? Or is there a way to create groupings on the depreciation schedule such that the improvements and property 1 can be separated from improvements and property 2?

Thank you for your input!