j212
11-23-2010, 03:42 AM
Consecutive losses with LLC - tax as C corp to avoid looking like a hobby?
Single member 3 year old NYS LLC has had 3 years of (small) losses (zero revenue), filed as deductions via schedule C.
To avoid redflags and audits, is it recommended to quickly switch to taxation as ( C-)corp to be able to accumulate further losses?
2010 will be loss, 2011 onward should be profitable.
In such a simple case, to get the C corp taxation of the LLC right, what is a reasonable total fee for all tax filings by a good tax accountant?
thanks a lot.
Single member 3 year old NYS LLC has had 3 years of (small) losses (zero revenue), filed as deductions via schedule C.
To avoid redflags and audits, is it recommended to quickly switch to taxation as ( C-)corp to be able to accumulate further losses?
2010 will be loss, 2011 onward should be profitable.
In such a simple case, to get the C corp taxation of the LLC right, what is a reasonable total fee for all tax filings by a good tax accountant?
thanks a lot.