Home Business Owners

[Mrfrog840]

I am an LLC

 

[axelfox]

There is no distinction between S Corp and C Corp under the law. Only the in eyes of the IRS does a S Corp or C Corp matter.

 

[Whoozyerdaddy]

LLC here.

 

[Captante]

DBA

 

[shopbruin]

Originally posted by: mrkun

Originally posted by: Fern

Originally posted by: mrkun
Heh, our home business is a C-Corp. LLCs, nor S-Corps, provide the same level of liability protection.

Please do explain.

I'm a CPA not a lawyer. Most of my clients set up as an S corp (best for taxes unless real estate is involved), or an LLC (lawyers here say it provides superior limited liability over that of a corporation).

Lawsuits/liability are governed under the civil code of your state's law. Perhaps something is different in CA than most everywhere else.

Here, whether your company is taxed as a C corp or S corp is completely irrelevant under civil law. It's not even allowed into evidence in trials.

I'm not entirely sure, but according to our lawyer and CPA, in CA the corporate veil is much harder to pierce for C-Corps compared to S-Corps and LLCs, which is especially important since the company is a general building/landscape contractor and lawsuits are rampant here. However, we're actually incorporated in Nevada, so I'm not sure what difference that makes.

in CA, you cannot form an LLC for a general building/landscape contractor if you are licensed. licensed professions, anything from doctors, lawyers to cosmetologists and real estate agents/brokers cannot form LLCs. CA does not allow professional LLCs like in some other states. you can only do the corporation.

 

[mrkun]

Originally posted by: freesia39

in CA, you cannot form an LLC for a general building/landscape contractor if you are licensed. licensed professions, anything from doctors, lawyers to cosmetologists and real estate agents/brokers cannot form LLCs. CA does not allow professional LLCs like in some other states. you can only do the corporation.

Well that explains that.