I am looking to set up an LLC to be owned 100% by my UK company. The LLC will hold residential property for rent. Is the best way to do this to set the LLC to be taxed as a C-Corp. And then what is the tax treatment of any distributions?
If you elect to have the LLC taxed as a C-Corporation, all of the distributions will be dividends, just as they would be from any C-Corporation.
Thanks Claudia.
Would the receipt of the dividends by the UK company attract any further tax in the US.
"Is the best way to do this ..." Good luck getting an answer to this one. There are way too many variable to be one answer to a question of this nature. Add to the complexity, a foreign investor. You should seek some local (i.e. the state the property is held in) counsel on both legal and tax implications of this venture.
