In the corporations of genuine estate law, the ownership or membership could be vested either in the actual property or in a very legal or natural individual, on the basis of the corporation type. So exactly like a corporation you as a proprietor can use an LLC for a type of protection for your own personal assets. To put it differently the proprietors of the business enterprise can't be held fully accountable for any debts that the organization occurs or actions taken on its behalf. Based on which accounting method you select, you could be paying more in taxes than you ought to. You may also need to cover sales tax that you have received from your customers. Call the local tax agency, explain the type of business you've got and exactly what you sell, and ask if you have to collect sales tax. Along with better asset protection, it is easier to take proper business deductions on tax returns when utilizing a suitable business form.