Who Form 1120 C Defined 2023-2024

Hi Clint Kunz here with Anderson Business Advisors and Law Group. Today, I want to talk to you about how to protect your rental real estate. The number one tool that real estate investors use to protect their assets is a limited liability company (LLC). Using an LLC ensures that if something happens, your real estate won't be put at risk. There are many attorneys out there looking to take a piece of what you make, and the easiest way for them to do so is by targeting individuals who have assets in their own name. Let me share a story about one of my clients to illustrate the importance of asset protection. This individual owned a nightclub, and a tragic incident occurred when two patrons were severely injured in the nightclub's parking lot. While the nightclub owner and the valet company responsible for parking cars were able to settle with the injured individuals using their insurance, the property owner faced a different situation. The property owner had his building and $20 million worth of real estate in his own name. The injured individuals targeted the property owner because he was seen as a "deep pocket defendant" due to his personal assets. As a result, the property owner ended up settling for a significant amount of money. In contrast, my client, the nightclub owner, had all of his assets protected through various business entities. The structure we created for him concealed his ownership, making it difficult for anyone to target him personally. I'll share with you how you can achieve the same level of protection by setting up LLCs and choosing an anonymity compliant jurisdiction for your real estate holdings. When it comes to owning rental real estate, using an LLC is highly recommended. Corporations may result in adverse tax...