BACKGROUND: My CPA is stating that a California resident must form the LLC within the State of California regardless if the investments will be in the State of Oregon. Let me know what your thoughts are.
Her email to me states:
If the manager of the LLC is a California resident, the FTB says the LLC is doing business here and has to register and pay.
ANSWER: It is my understanding that because the IRA LLC is not: 1) investing in real estate in CA and 2) not providing goods or services but, instead, will passively invest in real estate outside of CA (in other words it does not fall under the operating business umbrella), it is not subject to the same restrictions.
Her email to me states:
If the manager of the LLC is a California resident, the FTB says the LLC is doing business here and has to register and pay.
ANSWER: It is my understanding that because the IRA LLC is not: 1) investing in real estate in CA and 2) not providing goods or services but, instead, will passively invest in real estate outside of CA (in other words it does not fall under the operating business umbrella), it is not subject to the same restrictions.
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