Limit your liability, simplify taxes with an LLC
If you run your own business as a sole proprietorship or partnership, you’ve probably heard of the advantages of limited liability companiesespecially the way an LLC can protect personal assets from business debts.
LLC expert Anthony Mancuso clearly explains how to decide whether an LLC is right for you. Learn:
- the unique legal features of LLCs, including limited personal liability for owners
- who shouldand who shouldn’tform an LLC
- how to choose an LLC, corporation, partnership, or other business form
- how LLCs are taxed
- how to manage multiple-owner LLCs, and
- why an LLC can be the right choice even for a debt-troubled business.
What’s New? The Tax Cuts and Jobs Act provides LLCs with a 20% deduction on their pass-through business income.
|Edition description:||Tenth Edition|
|Product dimensions:||7.00(w) x 8.90(h) x 0.70(d)|
About the Author
Anthony Mancuso is a corporations and limited liability company expert. A graduate of Hastings College of the Law in San Francisco, Tony is an active member of the California State Bar. Tony writes books and software in the fields of corporate and LLC law and has studied advanced business taxation at Golden Gate University in San Francisco. He also has been a consultant for Silicon Valley EDA (Electronic Design Automation) and other technology companies. He is currently employed at Google in Mountain View, California.
Tony is the author of many Nolo books on forming and operating corporations (profit and nonprofit) and LLCs. Among his current books are The Corporate Records Handbook; How to Form a Nonprofit Corporation; Incorporate Your Business; Form Your Own Limited Liability Company ; and LLC or Corporation? His books and software have shown over 500,000 businesses and organizations how to form and operate a corporation or an LLC. Tony is a licensed helicopter pilot and guitarist.
Table of Contents
1. An Overview of LLCs
2. The LLC vs. Other Business Structures
3. Members' Capital and Profits Interests
4. Taxation of LLC Profits
5. LLC Management
6. Starting and Running Your LLC: The Paperwork
7. Getting Legal and Tax Help for Your LLC
A State Information
B Sample Operating Agreement
C Checklist for Forming An LLC
With the latest tax changes that lower corporate tax rates, corporations have been in the news a lot lately, but the tried and true LLC may still the best way to go to limit your personal liability for business debts while adopting or keeping a non-corporate tax status: After you form your LLC, if you own your own business, you file (or continue to file) Schedule C with your IRS Form 1040 for your LLC: if you co-own your business, you file (or continue to file) a 1065 partnership return. In effect, with an LLC, you get limited liability without having to care for and feed a corporate tax entity (and corporate tax accountant). Plus, some LLC owners qualify for a 20% tax deduction under the new tax law. For more information, see Nolo's article on the new pass-through business tax deduction.
Most Helpful Customer Reviews
Nolo's book lives up to its billing as a quick review of the pros and cons of the LLC. It briefly reviews various alternatives, and then the remainder of the book examines the capabilities and limitations of the LLC -- profits, management, how to start/run an LLC, paperwork, losing its advantages, general tax and legal issues, and some forms samples. It examines a key advantage of the LLC's personal liability feature -- the "charging order". A useful tool for those contemplating alternatives to the sole proprietorship.
This book is a GREAT introduction to understanding the issues surrounding Limited Liability Companies (LLCs), and whether, or not, you should set one up yourself.My wife and two sisters just inherited a house and rather than sell, are deciding to rent it out. An estate lawyer said "you should probably set up as an LLC" to which we all said ... "huh?" Well this book thoroughly answered our "huh?" The author quickly and explicitly states that this work is NOT meant to be used to set up an LLC. What it does do is bring great clarity to those of us at ground zero in understanding and decision making about proceeding to set up an LLC.As a bonus to explaining the ins and outs of LLC's, chapter 2 (The LLC vs. Other Business Structures) is a veritable introductory text on corporate structures, such as sole proprietorships, general partnerships, S corporations, and RLLP's (I'd never even heard of an RLLP which means "Registered Limited Liability Partnership").Appendix B consists of a sample operating agreement, the sort of thing I find brings some real world clarity to these kinds of business issues. Appendix C gives a basic "Checklist for forming a basic LLC" which serves to clarify issues as well.This work is excellent at pointing readers to more appropriate, in-depth resources. Two such are the author's other NOLO works, Form Your Own Limited Liability Company and Your Limited Liability Company: An Operating Manual. I confess to not having seen either of these works, but intend to seek them out based on this book. Disclaimer: The author of this review received a free review copy of this book via the Amazon Vine program.