Corporate setup for Rehab Flips and Income properties

[Jason NA]

I am just getting started and have already acquired a great cash flow rental property as well as 2 houses to flip. I like to do things right and I feel now is the time to setup my business structures to be the best in terms of tax and liability.

With regards to liability, yes I have great amounts of insurance for everthing I do.

What I plan to do is form an LLC for every rent & hold property I buy. Each LLC will hold title to its property. The Owner of each LLC will be a "master" C corp. I will likely also use this master C corp to flip properties. My reasoning for this setup is that I initially dont need to draw a lot of money from my profits. In fact I want to retain as much cash as possible to building my flipping business. Because of this and the mass deductions that can be made I am not concerned about the possible double taxation.

My questions are as follows:

1. What is the difference between a C corp and an LLC which elects to be taxed as a c corp. Are they EXACTLY the same with NO exceptions? Im sure they are not, someone who really knows please elaborate.

2. When forming an LLC to hold rental property (this is basically done for liability protection) is there a specific wording of the operating agreement that must be employed in order to achieve the strongest liability shield.

3. I am of course planning to buy as many rental properties as possible. I plan to put each property in its own LLC to separate liability form myself and form the other properties I buy. My property manager only sends me one check for the net proceeeds from all my properties. Can recieving all my rental income form all my properties in one chunk, be used against me to unseparate liability from one property to another?

4. I am buying my rental properties and flips in NC and NY. It seems that I should form the LLCs for each property in the state where the property is. In what state should I form my Master c corp? I would assume it would be best to form the master corp in a state like NV which has no income tax.

5. What is the best tax avoidance strategy for the capital gains earned from short term flipping?

BTW: I live in CA, and plan to flip propertes in other states as well

Your comments, opinions, experience, and suggestions please.

Also anyone reccomend a good CPA firm in NY? NC?