Taxation of single member LLC

[Mike Mitchell]

My accountant reported my interest income from my mortgage note portfolio as interest income with no schedule c. Could I lower my tax liability by reporting the interest in another way? This came up because I had another accountant, who specializes in showing persons how to lower their taxes, take a look at the return and he is telling me that it's possible to pay less in taxes (if I pay his fee of course). The notes are owned by my single member LLC. There was only one return prepared by my accountant with all of the LLC's income showing up on my personal return.

[Ned Carey]

A single member LLC is taxed as a disregarded entity unless an election to tax as a corporation is taken. Interest is pretty much already taxed at the lowest rate.