LLCs taxed as C Corporations for federal tax purposes. Kiritsis Law 212 922 0005
C Corporations are titled this way, due to the fact that they are often referenced/addressed in Subchapter C of the Internal Revenue Code.
In a Nutshell.C Corporations are often referred to as the classical corporations, in large part, because they tend to make up the lion share of publicly traded companies, multi national business organizations and large capital ventures. It should be noted that, when an LLC makes a C Corp tax election classification, then it will generally continue to be treated as a C Corp, unless and until such tax election is revoked.
Essential Points of Applied Law.An LLC may elect to be taxed as a C Corporation, for a number of reasons. A common reason for such a governance and tax structuring combination, may be the need to create a legal entity that has rigid corporate governance and heightened corporate formality requirements, along with a flexible management structure. If an LLC is taxed as a C Corporation, then it may often be the case that unit shares, are the measure used to express ownership equity (membership interest).