Posted By:
dstudebaI hope Mark weighs in on this one, but I am interested on exactly how your taxes will be less in an LLC? I was always under the impression that for tax purposes an LLC was a pass through entity meaning that the LLC paid no taxes, only the owners, and taxes were paid at the owners' personal tax rates. Unless you somehow save by a loophole turning short term capital gains into long term capital gains, I am ignorant as to how this will save you tax money.
edited to add:
For an S corporation if you were a licensed securities broker I guess you could argue that the stock was inventory. Then any gains would be profit to the corporation and taxed at the corporate tax rate. But anything that you took home would then be taxed again as a dividend. Right? (I am just thinking outloud here as I know little about corporate taxes and structures)