A limited liability company is a business organization providing limited liability to its
owners, but not taxed as a corporation.

Question

Quizplus · Accepted Answer

A limited liability company (LLC) is a hybrid business structure that provides limited liability to its owners, known as members, while avoiding double taxation by being taxed as a pass-through entity. This means the profits and losses of the LLC are reported on the personal income tax returns of its members, rather than being subject to a separate corporate tax.

A Limited Liability Company Is a Business Organization Providing Limited