Laura Davis is a member in a limited liability company that has historically been profitable but is
Question:
a. As an LLC member, will Laura's share of losses be presumed to be passive as they are for limited partners? Why or why not?
b. Assuming Laura's losses are not presumed to be passive, is she devoting sufficient time to the LLC to be considered a material participant? Why or why not?
c. What would you recommend to Laura to help her achieve a more favorable tax outcome?
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Related Book For
Taxation Of Individuals And Business Entities 2015
ISBN: 9780077862367
6th Edition
Authors: Brian Spilker, Benjamin Ayers, John Robinson, Edmund Outslay, Ronald Worsham, John Barrick, Connie Weaver
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