Holding LLC Does It Look Like A Sham ?

[Brent Crude]

I've set up a Wyoming LLC that will be THE Member of a California LLC (yet to be set up),

The California LLC will have a rental property, with income and expenses like a regular business,

OK, so California LLC looks legitimate, but what about the Wyoming LLC that is only a holding company and sole member of the

California LLC, so the Wyoming LLC in reality does no business and is only used for asset protection, Im just wondering if its not doing any actual business isn't there a possibility of being called a shame LLC ?

Happy Friday the 13 Th

[Scott Smith]

@Brent Crude, fun conversation and I agree with some of the cautions about DIY especially as it relates to California. What you will find is California taxes and regulates all LLCs (even foreign) - some say heavily. I have found a strategy to hold the assets in trust, which are not taxed or regulated as heavily and provide comparable asset protections as LLC. You can check it out on this article. This strategy is less expensive, but probably not a DIY either unless you like risk.