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LLC could be a single member or a multiple member. When it is a single member LLC, the member will take into account the profit and it will become taxable. LLC will not pay any tax, it is the member who pays the taxes from all the profit gained. As with the 2 member LLC, it will be the same principle. Based on the shares you have with the LLC, your tax will be based on the profit gained from the business.1 of 1 people found this helpful
What about the partnership in LLC?
A single owner LLC is to be treated like a sole proprietorship for tax
purposes means that you have to pay the 15.2 percent self-employment tax
if you are the proud owner of a single owner LLC. Most people don't
know this when they decide to form the entity and they get a very nasty
surprise when it is time to pay.
If you want to form a single owner LLC, there is nothing wrong with
that. Just make sure you understand self-employment tax will be due and
you have the money to pay it.For more information check my this site http://www.clickandinc.com/