Should I report a transfer of a rental house from a father/son LLC to the father's single-member LLC as a sale on the father/son LLC Form 1065?
The LLC purchased the rental house, but the father made all the payments on the mortgage out of his personal funds. Improvements were made on the house, again from the father's personal funds. The son provided all the labor to do the improvements on the house.
The father left the father/son LLC the year before the transfer of the rental house. There was no sale, only a transfer of the deed. No money exchanged hands. No consideration was given at the time the father left the LLC.