Question
What is the main tax consequence of electing C corporation treatment for an LLC?
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Answer
Entity-level tax under Subchapter C.
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Question
What is the main tax consequence of default partnership treatment for a multi-member LLC?
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Answer
Subchapter K pass-through taxation applies.
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Question
Why might a profitable SMLLC elect S corporation status?
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Answer
To reduce self-employment tax on residual profits.
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Question
Why is an LLC's federal tax treatment not determined by state law status alone?
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Answer
Because the IRC has no separate LLC tax regime; check-the-box controls.
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