How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site.
    Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Lev Your Own Question
Lev, Tax Advisor
Category: Tax
Satisfied Customers: 28081
Experience:  Taxes, Immigration, Labor Relations
Type Your Tax Question Here...
Lev is online now
A new question is answered every 9 seconds

We have a Single member LLC (disregarded for federal tax purpose)

This answer was rated:

We have a Single member LLC (disregarded for federal tax purpose) who owns a Delaware C Corp. Should we include this Delaware C Corp in Form 851 as a legal entity?

Lev :

Hi and welcome to Just Answer!
The form 851 is filed by the parent corporation.
Because the owner is a Single member LLC which is disregarded for income tax purpose - the LLC doesn't file the income tax return.
So - if the Single member LLC is owned by the corporation - means - the corporation is the single member of that LLC - and if that corporation files the consolidated income tax return - the form 851 will include Delaware C- Corporation.
If however, the Single member LLC is owned by the individual - the form 851 is not needed.


Thank you. So, the answer to my question is yes, the Delaware C Corp will be included as part of the subsidiaries of the parent corporation. Can you confirm?

Lev :

Yes - that is correct.


Thank you.

Lev and 3 other Tax Specialists are ready to help you

Related Tax Questions