Can an Out of State LLC Own Property in Arizona?

Can an out of state LLC own property in Arizona?
If an LLC formed in state 1 wants to engage in business or own real estate in state 2, state 2 may require that the LLC register to do business in state 2. Some states (Arizona for example) do not consider the ownership of one parcel of real estate by an out of state company to be doing business in the state.
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There are a few things you should know if you are an out-of-state LLC considering purchasing property in Arizona. Yes, an out-of-state LLC may own property in Arizona, to give the quick response. But there are some rules and specifications that must be adhered to.

Your LLC must first be registered with the Arizona Corporation Commission. This procedure can be completed online and is pretty simple. After your LLC has been registered, you will need to designate a statutory agent who can accept legal documents on your LLC’s behalf.

The second requirement is that you must acquire an Arizona Transaction Privilege Tax (TPT) license. Any LLC engaging in business activity in Arizona, including owning property, must have this license. The Arizona Department of Revenue is the place to go to get a TPT license.

Third, you must adhere to Arizona’s tax regulations. Arizonan LLCs must pay state taxes, such as income tax, real estate tax, and sales tax. The type of business and the quantity of income produced affect the tax rate. Does my LLC require a registered agent?

Yes, a registered agent is necessary for every LLC. A registered agent is a person or organization chosen to receive court papers for the LLC, such as lawsuits and subpoenas. The registered agent must be readily accessible during regular business hours and have a physical location in the state where the LLC is registered.

How are LLCs taxed?

LLCs pay a different tax rate than corporations do. Since LLCs are regarded as pass-through businesses, the business’s gains and losses are distributed to the owners and recorded on their individual tax returns. While LLCs are subject to state and local taxes, they are not subject to federal income tax.

Are a registered agent and a statutory agent the same thing?

Yes, a registered agent and a statutory agent are interchangeable terms. The phrase “statutory agent” is used in Arizona in place of “registered agent.”

Can I act as my own registered agent in Ohio for my LLC?

In Ohio, you are permitted to act as your own registered agent for your LLC. However, serving as your own registered agent has some disadvantages. You must be accessible during regular business hours and have a physical address in Ohio where legal documents can be delivered. You can overlook crucial legal paperwork if you are unavailable during business hours, which could have detrimental effects on your company. Your personal information will also be public record if you use your home address as your registered agent address.

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