LLC your ADU to Save on Taxes?

[Ray Martinez]

Hey everyone,

I'm currently in the beginning stages of converting my garage into an ADU. I wanted to see if there are any experiences with creating a LLC prior to construction to help with tax liabilities for the costs of the conversion.

If this is the case, how did you approach this and how did it benefit you?

Thanks in advance for the insight!

[Wayne Brooks]

An llc doesn’t affect your income taxes in any way..  Also, not sure what you’d do with the llc, transfer the whole property?  This would be a bad idea for a number of reasons, again with no tax benefit.