I'm new to Kingsport, TN. My LLC is from Virginia, need some guidance as to close down that LLC and start a new one in Tennessee, or trade as a foreign entity. In general, would like to get a great CPA, that specializes in real estate investing. Local is not necessary, but would be nice.
Thank you in advance for your help!
Hi @Constance Grandelli If you keep your LLC, it will have to file in both TN and VA. Some states require LLCs to file only if they doing business in or have income from the state. Unfortunately, VA requires to file if an entity was organized in VA.
To close down an LLC you would have to file a final returns for the LLC and dissolve your entity with the Secretary of State.
Let me know if you would like to discuss more.
Except that TN doesn't have state income tax. So she may not have to file there.
If the rentals are in VA, and you set up an LLC in VA, and you don't have to file in the state of TN since no income tax there...I'd go that route. Feel free to shoot me a PM @Constance Grandelli .
But this is all subjective also- I'm assuming the LLC is for rentals but if it's other investing there may be a better solution as well. I do have a local referral in TN- his office is in Nashville.
Definitely keep in touch. I have investments near Kingsport.
Thank you so much for your response Vlad, Natalie & Steve (I haven't figured out the @ thing for the names!)
I have one small rental in Va. that was bought with the LLC - that's it. I was in the process of transferring it over to me personally. That would mean there is nothing left in the LLC & I won't be doing any more investing in Va. I will start investing in TN, so maybe I should set up a TN LLC? It's all confusing, that's why I need a CPA that knows all about this stuff.
If you still own the property in VA I’d recommend you leave it in the VA LLC. Start a new LLC for your TN properties. I’d probably do one LLC for all your TN properties that you end up buying. If not you will need to file multiple TN returns (TN will require a return for each LLC). What are you looking to do long term?
Hi Andrew Moore,
Thank you for your response. Long term, I would like to sell off all of my properties in Va. Since I have recently moved from Va to Tn, I need a principal residence, one where I can rent out half of it and live in the other half (or something along those lines). Not so sure that I'm interested in flips in this area. I think new construction might be a better way to go. And, it's always nice to have a few rental properties under you belt as well! :0) LOL! I hope I answered your question!
Have a great evening!
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