You must file EVERY year. It is NOT optional. As you can tell from the recent messages, the fines can be substantial for not filing. You report all of your income and expenses and their allocation to your partners. You may also be required to file with your state and/or the states where your members live.

 

Ira Smilovitz

 

My investment club just started and we are still in the
process of organizing it.  I was told that it was required
for a investment club to file the first year but was
optional after that.  I assume that is not true by these
emails.  Can someone clear this up for me?  I assume that
the club's filing is just to report the gains/losses to the
IRS.