Rental Income and LLC

[riyapedm]

Hi, I need to find out can we form LLC to manage rental properties outside USA? Can same LLC handle management aspects of K1 partnerships income from another state?

[pk]

@riyapedm , in general, an LLC , formed under US laws ( State), whether partnership or sole proprietorship or behaving as C-corp.,   can do business anywhere. However, the LLC protection is valid only within the jurisdiction of relevant authorities ( usually the  state and sometimes by agreement with another state / states.  Thus  the LLC protection is  not valid - generally, absent treaty considerations ,  in another country.  So if the reason you are forming an LLC is to limit your liabilities , then you should  consideration forming an entity in that country  ( which ? ).

I am not a lawyer --- just my understanding of the LLC regime.

You definitely should consider discussing your situation with a US lawyer as also a lawyer in the country.

Hope this helps 

[riyapedm]

From legal perspective I can get it clarification from lawyers but for tax purposes, can I form LLC in california to manage properties overseas? to get the expenses written off against the profit. - that's the purpose of question on this forum.

[pk]

@riyapedm , of course -- an entity formed in California under its laws  is free to pursue  any business , even foreign holdings and/or own foreign entities.

From a tax perspective,  for both federal and state,   there is no distinction between doing business  in the USA  or abroad ( unless the foreign country  / entity/person is sanctioned ).

Does this answer your query ?