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Updated almost 7 years ago,
Entity classification for LLC where SD 401k trust is the member
I am planning to create an LLC with the Solo 401k trust as the member to provide liability protection when I purchase real estate and some separation of assets within the 401k. Should I elect something other than the default disregarded entity? The IRS filing info says "If the only member of the LLC is not an individual, the LLC income and expenses are reported on the owner/member's tax return." Is there any reason to change this to be taxed as an S corp?