Hi-
Big fans of your show and I listen always!
I have a business setup as a single member LLC that I heard from my accountant I should convert to a Multi-member LLC by adding my spouse as a limited partner for a few reasons:
1- Reduce S/E tax on my spouses portion of the income.
2- Free up passive losses and offset with my spouses portion of the income
3- Reduce my audit rate filing a 1065 as opposed to Schedule C.
I live in NYC, so an S corp isn’t worth it as NYC doesn’t follow S-corps and their corp rate is 9%.
Does what my accountant mention seem legitimate?
Thanks and looking forward to your thoughts.