CA Partnership with manager managed WY LLC

[Cynthia Neal]

As a CA Partnership we file a 1065 in CA. We are now looking to open a manager managed WY LLC for privacy and liability protection for property investing out of state. Can we make the WY LLC a disregarded entity and flow thru to our CA Partnership for tax purposes? Or do we still have to file the WY LLC as a nonresident for California tax requirements? The manager would be the registered agent for WY LLC. with bank account and business address in WY. I get different answers from CPAs and Attorneys.

[Basit Siddiqi]

@Cynthia Neal

Do you have a CPA and Attorney that you use? or are you asking various CPA's who do not know your full situation?

Someone who knows all your information would be best suited to know your answer.

California is very broad in their definition of doing business in CA.
If you create additional entities but still conduct the business within CA, they may require you to file a state tax return within the state.

Location of bank address does not necessarily have any impact where the state will consider that the entity does business in.