S-corp For GP Of Limited Partnership?

Comments(3)

• 
  DaveREI12th October, 2003

  With your points mentioned I believe it would be best to talk to your CPA to structure the best possible entity / ies, to achieve the results you are striving for.

• 
  metro179012th October, 2003

  DaveREI.
  
  Thanks, and I will, and the reason I posted this on this board is to get the opinions of the CPA's and Esquire's
  that post on this board as well as Investor's that may be ahead of me in this particular game.
  
  Metro

• 
  flacorps13th October, 2003

  Quote:
  On 2003-10-12 13:09, metro1790 wrote:
  Can I use an alrealdy setup S-corp as GP for a Limited partnership yet to be setup?Of course. But LPs are typically expensive and archaic compared to LLCs.
  Quote:
  What are the pro's and con's of differant entities for GP of a Limited Partnership?
  Example: C/S/LLC.They all do just about the same thing: shield the general partner from the inherent liability of being a general partner. Their pros and cons are the usual ones inherent amongst the three of them.
  Quote:Dual Lines of business.
  Could I do one line of business out of one LP say for passive (portfolio properties), Then do my second line of business out of a seperate LP say for earned, where the GP is in common with both without having my quickturn LP GP comprimise the Cashflow GP LP which is the same entity in regards to dealer status?The IRS has a couple of provisions in the tax code that allow it to monkey with whatever you've done with entities if they think it was done merely for the purposes of tax avoidance. Sections 269 and Section 482. If they tag you with either of these, you'll probably need to go to court to fight it.
  Quote:
  I am putting together a multiple entity structure for:
  
  A)Rentals and Lease Options.
  
  B)Wholesaling Property, Notes, Judgments and Liens as well as Rehabbing, Construction, and a Service company for property management on my portfolio of properties.
  
  I reside in MD where LLC's are taxed at $300 per year, so having 10 of them for my portfolio properties isnt cost effective to me.
  
  If the properties are just rentals, Out-of-state (termed "foreign" corporations you form to hold them may not be "doing business" in Maryland, so if you used say, Florida or Delaware or Nevada LLCs, you might be able to avoid paying $300 annually, and pay some lower other state fees and perhaps some registered agent fees. That may make the multiple entities more practical.