Pass-through taxationentails a business’s profits passing through to the LLC member’s individual tax returns. Like a sole proprietorship, an LLC is taxed as a pass-through entity, also known as a disregarded entity. Once this process is completed and after any tax-deductible expenses are tak...
If you want your LLC to be taxed like a C-Corporation or an S-Corporation, you’ll do that with a separate form after the EIN is approved (we’ll discuss this later on). Additionally, how your LLC is taxed by the IRS has nothing to do with your LLC’s liability protection. Your ...