I have a situation I am trying to address with a client and hoping for some input from here.
Currently this client has a LLC taxed as a S Corp in California.
The owner is moving out of state and wants to start building up another location. During this time we want to create a holding company in this new state. So profits from the subsidiary in California will flow into the holding company. Ultimately the owner will take his personal income through the Holding company.
The CA LLC (currently taxed as an S corp) will eventually bring on a long time employe