Limited Liability Company (LLC)

Unfortunately, there are many companies "selling" LLC's that don't teach their clients how to use them.  Like any tool, an LLC can be very productive, but also destructive if misunderstood.  If you own an LLC and don't know how to use it, relax...MainStreet will get you on track, training you to decrease your taxes and increase your liability protection.

What are the benefits of an LLC?

  • Tax flexibility; LLC's can elect to be taxed as C-Corps, partnerships or S-Corps.
  • Less regulations; LLC's are not required to keep formal meetings w/minutes, corporate resolutions, etc.
  • Great liability protection; LLC's protection is not contingent upon compliance with meetings/documents
  • LLC's can be used as holding companies for other businesses to protect assets

What is an S-elected LLC?

When an LLC elects for tax status as an S-Corp, it eliminates a 15.3% "self-employment tax" on its net income.  In all tax respects, the LLC is treated as an S-Corp and for all legal issues, the LLC is treated as an LLC and does not require compliance with corporate regulations for protection of personal assets.  An S-elected LLC is required to pay payroll taxes on a "fair & reasonable" officer salary in place of the self-employment tax on net income.

Can you S-elect your existing LLC?

Yes and no.  According to current IRS law, LLC's can s-elect during the first 75 days after organizing or during the first 75 days of each sublimental year.  If you have an existing LLC that is older than 75 days, you have the option to s-elect from January 1st-March 15th each year, or create a new LLC now and s-elect it.  The choice to wait or create a new LLC will be based on the month of the year you come in contact with MainStreet.  If by creating a new s-elected company today you can save thousands by next year (or at least the $394 to set up and file the entity), it is impractical to wait.

How do I organize multiple LLC's to protect my business assets?

Organizing a single s-elected LLC that owns all of your business assets and leases them to operating companies protects your business assets from being lost in litigation proceedings.  See Multiple LLC Management page for more information.

Frequently Asked Questions

Learn more at our next seminar

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“I never knew why I got the tax refund I got. MainStreet explained my refund and gave me confidence that there is nothing left on the IRS's table.”

Clayton Rand; United Bank Card

“If it wasn’t for MainStreet doing my payroll and taxes, I wouldn’t be doing this...I would probably be working for someone else.”

Jeff Pine; Jeffrey Pine Trucking

"In addition to tax and entity services, MainStreet took the time to meet with me one on one and provide advice on growing my business further."

Brittany; Salt Lake City

"[They] did our taxes in a timely manner and went above and beyond by noticing (and fixing) a mistake in our 2007 taxes."

Whitney; Midvale, UT

"Don't risk your health dealing with the government; they'll do the battle with the IRS for you."

Kathy Hacking; Hacking Paving & Excavation

"I've always been content with the refunds I got online until MainStreet showed me how much I had been missing."

Dan; Salt Lake City

"There is HUGE difference between somebody who can do taxes and somebody who has been in business for themselves and that can also do taxes."

Andy; Independent Sales Representative

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– Jonna May; Intermountain Toxicology Collections

"[MainStreet] has saved me thousands of dollars - [they] even found errors my previous accountant made and got me my money back."

–Michael Smart; Michael Smart PR

"MainStreet has been very helpful in preparing tax returns for our real estate and retail businesses as well as personal tax returns for the past few years."

-Deon Grimes, Zurich Holdings

“[I am] very thrilled with the way they approach their client relationships, but also how they deal with taxes, they are very fair and very thorough.”

– Alan Boyer

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