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URL:  http://boards.fool.com/llc-profit-as-dividend-13950552.aspx

Subject:  LLC profit as dividend Date:  12/21/2000  1:32 PM
Author:  honeydog Number:  43232 of 120812

LLC has two partners, 95% me, 5% my brother (he has negative capital). Involved in Okla real estate developement last 5 yrs but brother does all work/management, I live out of state. From last profitable year in 98 I paid S.E. tax on my K-1 share of profit, per my tax preparer. 2001 will be profitable but since I am not involved in operation, am I obligated to pay S.E. tax? Instead, could LLC distribute it's profit as non-S.E. dividend to me?


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