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An LLC is taxed and treated in the same manner for Louisiana income tax purposes as it is taxed and treated for federal income tax purposes. If the LLC is taxed as a corporation for federal income tax purposes the LLC will be taxed as a corporation for Louisiana income tax purposes. If it is considered a partnership for federal income tax purposes (the most common situation) then it is treated as a partnership for Louisiana income tax purposes. An LLC is always treated as a partnership for franchise tax purposes and therefore is not subject to Louisiana franchise tax.
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How are Limited Liability Companies (LLC's) taxed for Louisiana income and franchise tax purposes?
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