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Updated almost 2 years ago on . Most recent reply

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Mika'ele' Keni'
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CA Annual Franchise Tax for multiple out of state LLC's set-up

Mika'ele' Keni'
Posted

I browsed several posts about taxation on out of state LLC's set-upsin CA, but didn'tt find the exact answer I was looking for...

Can someone shed some insight?

How does the CA Franchise tax board view ownership of multiple LLC's structured for asset protection?

SPECIFIC EXAMPLE:

- CA resident has 3 LLC's; 2 in FL and one in WY

- each FL LLC (single member, manager managed) own separate a property

- the WY LLC (single member, manager managed) in turn owns both FL LLC's

- the CA resident owns the WY LLC (single member, manager managed)

- The CA resident does NOT own the FL LLC's, only the WY LLC

- All LLC's are set up as disregarded single member and manager managed

Can the CA resident register ONLY the WY LLC in CA as a foreign LLC and pay $800 annual Franchise Tax?

or does the CA resident need to register the WY LLC and BOTH FL LLC's also? paying a total of $2,400 annually? $800 for each LLC?

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