Business Organization
I read http://www.thecreativeinvestor.com/modules.php?name=News&file=article&articleid=452, and wanted to heard some further discussion on sole prop v. corp v. s-corp v. LLC v. General partnership v. limited partnership v. a trust.
All have there pro/on issues. But for those who did form one of the above, why?
Thanks.
I did LLC as it seemed like the best package. I never heard of the SE tax liability, maybe no one mentioned it as I plan to contract it out.
Contract out what ? Self employment income taxes do not apply to rental property income reported on your Schedule E.
contractor or the rehabbing.
I don't believe it's schedule e if it's a llc. The llc flows thru the profit (if any) to the members via a K-1 if it's set up to mimic a partnership.