The Commerce Journal,Business and Local Businesses
*The Commerce Journal>>>United States Taxes

Do I pay taxes if I sell LLC?

I am an owner of an LLC in California. If i sell this LLC, do I pay taxes? If yes what type of taxes and what bracket would i be in if LLC worth $200,000. Thanks

It depends on how you structure the sale of the company. Was there an agreement as to what the buyer was actually buying? Sometimes these sales are structured as selling the company itself. Sometimes they're structured as selling the ASSETS of the company.

The buyer and seller need to be on the same page and treat the sale the same way, or the IRS will ding you.

But to answer your question the best I can, if you're treating it as a capital gain and you held it for more than a year, you'd be taxed at 15%. If you're subject to ordinary gain, your tax bracket could be anywhere from 10% to 35%.

You need to set up an appointment with a CPA. This is far too complicated of a situation to be resolved on Yahoo! Answers.

If you sell the stock, you compare what you got to what your basis was. The gain is still capital gain....

Tags
　　Austin 　　Atlanta 　　Other - Business & Finance 　　Other Taxes 　　United States Taxes 　　United Kingdom Taxes 　　Spain Taxes 　　Singapore Taxes 　　Mexico Taxes 　　Ireland Taxes 　　India Taxes
Related information
  • I just mailed my taxes out. I am a day late, what happens, what can I do?

    it's not a big deal especially if you are receiving money back but if you owe something and have enclosed the full amount, you may have to pay a very nominal late payment... no, worries, mate....

  • Is IRS paying back $500 to resident? is it true?

    Yes. However, it's not $500. Filing single - $300 up to $600 (plus $300 for each qualifiying child) Filing Married - $600 up to $1,200 ( plus $300 for each qualifiying child) Click the li...

  • Will I be penalized for filing my taxes late?

    No. You cannot E-file. You must mail your income tax return. This information applies to your Federal Tax Only! Filing Late Penalty The penalty for filing late is generally 5 percent per mont...

  • The IRS changed my adjusted gross income. whats the difference from adjusted gross income & what I made?

    Your adjusted gross income is amount of your income that is considered taxable. It's the amount of income after your deductions. For example, if you paid any interest on student loans that amo...

  • How do you know for sure if you're getting the stimulus check from the IRS?

    If you filed an income tax for 2007, you should get a check. If you are someones dependent you wont get one. If you owe the IRS money (back taxes) you do not get one. If you did not file taxes you ...

  • I did my taxes this year by using Turbo-tax and electronic filing. i used direst deposit....?

    NOT if you completed the forms correctly, noting direct deposit with routing # and account #. If eligible, your tax stimulus rebate will go there too.

    ...
  • Newly formed LLC, owners the only employees do we need to pay FUTA?

    How did you elect to be taxed? If you elected to be taxed as a corp, you MUST pay yourselves a reasonable salary, withhold taxes from the pay, and pay all payroll taxes including FUTA. If you...

  • For all those who do not agree in an increase in taxes........?

    An increase in taxes, duh!

    ...
    • 　

    Commerce Categories--Copyright/IP Policy--Contact Webmaster