Hmmm… I have to agree with Da Wiz. I think it’s overkill.
Ask your CPA why they’re recommending this approach. If you’re sole shareholder and President of the C-corp, which is managing the LLC, of which you also own 98% -- I would think that’s an easy veil to pierce. Better yet, ask an attorney what their thoughts are.
I had two C-corps, in two different states, for years. Then I went to one C-corp, and just recently converted that to an S-corp. I wanted the pass-through income, without dealing with the double taxation issues.
He suggested the creation of the C-Corp to create a partnership in the LLC in order to file 1066 rather than have it pass through to me since I am employed.
It may give some added liability protection.
Hmmm… I have to agree with Da Wiz. I think it’s overkill.
Ask your CPA why they’re recommending this approach. If you’re sole shareholder and President of the C-corp, which is managing the LLC, of which you also own 98% -- I would think that’s an easy veil to pierce. Better yet, ask an attorney what their thoughts are.
I had two C-corps, in two different states, for years. Then I went to one C-corp, and just recently converted that to an S-corp. I wanted the pass-through income, without dealing with the double taxation issues.
Thanks for the feedback guys.
He suggested the creation of the C-Corp to create a partnership in the LLC in order to file 1066 rather than have it pass through to me since I am employed.
Sounds like there is no advantage to such structure tax wise. I am going with a single LLC.
What investment strategy are you planning to implement?
I am going after the deed, wholesaling, holding, and owner financing depending on the deal.