11/17/97 YOU, TOO, CAN BE AN LLC

Return to Enterprise Table of Contents

YOU, TOO, CAN BE AN LLC

It's not a tax refund, but here's good news from the Internal Revenue Service. New rules let individuals set themselves up as limited liability corporations (LLCs). The advantage: Profits are taxed just once, like a partnership, while personal liability is limited, like a corporation. Previously, an LLC needed at least two people; now, an independent contractor can form one to help demonstrate independence. There's also a PLLC for professionals. State laws vary. In December, Nolo Press will release an updated version of its $26.95 book on LLCs. (800 992-6656)
EDITED BY EDITH HILL UPDIKE