California resident - Out of State LLC


G

Gus

I live in California and have formed an LLC in another state
for rental property I own there. I have zero California
sourced income for the LLC. 1: Will I have to pay the $800
California franchise fee? 2: Will I have to register the
LLC in California as a foreign LLC. Thanks, Gus
 
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S

Stuart Bronstein

Gus said:
I live in California and have formed an LLC in another state
for rental property I own there. I have zero California
sourced income for the LLC. 1: Will I have to pay the $800
California franchise fee? 2: Will I have to register the
LLC in California as a foreign LLC.
If the business transacts business in California such that
it will need to qualify to do business here, the answer to
both questions is yes. If not, the answer is no.

Stu
 
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K

Katie

Gus said:
I live in California and have formed an LLC in another state
for rental property I own there. I have zero California
sourced income for the LLC. 1: Will I have to pay the $800
California franchise fee? 2: Will I have to register the
LLC in California as a foreign LLC. Thanks, Gus
As Stuart said, the LLC will not need to register in
California, file a California information return, or pay the
$800 minimum tax unless it transacts business in California.

Of course the income or loss from the LLC will flow through
to your California resident income tax return.

Katie in San Diego

The foregoing is intended for educational purposes only and
does not constitute legal or professional advice.
 

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