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Updated almost 3 years ago,
Can you run properties as "one business" while in separate LLC's?
I've talked to accountants and tax agents and no one seems to think this is a normal situation, but my understanding from the BP world is that people do this all the time - am I wrong?
I want to own my properties in separate LLC's for asset protection, but operate them through one "business" name that I can use for all accounts/transactions (think: Google Voice, email address, web domain, one credit card, paying all the contractors, property manager, etc.) and that one "business" is an LLC separate from the property LLC's.
However, my tax agent basically told me this doesn't work because the property LLC's own the property and the expenses for that property have to fall under that LLC in order for expenses to offset income for taxes. Otherwise, my separate "business" LLC has all the expenses but no property income to offset it.
That explanation makes sense, but how do other people set this up?? Is anyone else operating in a simplified manner where all your work is under one business but the assets are protected separately?
Not seeking real legal or accounting advice, just want to pick your brain.