Will I get taxed in Michigan if I use a Connecticut LLC?

[Josh Carter]

I have an LLC I formed last year in Connecticut but have been unsuccessful with landing a deal I was happy with in that state. Just found an amazing deal in Michigan. It seems it would be easiest to just use my Connecticut LLC especially because I have a bank set up with it for this property. Will I have to pay double taxes though? Is it worth dissolving and starting over in Michigan?

[Steven Hamilton II]

Yes, you will be taxed in the state in which the property is located. In addition you will have to register that CT LLC as a foreign entity doing business in MI. No double taxes, you will get a credit for the taxes paid to MI.