For tax purposes, the limited liability corporation functions like a corporation, protecting the owners' assets against claims made against the company.

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A limited liability corporation (LLC) offers protection for the owners' assets against claims made against the company, similar to a corporation, but for tax purposes, it is typically treated as a pass-through entity, meaning the income is taxed on the owners' personal tax returns, not at the corporate level.

For Tax Purposes, the Limited Liability Corporation Functions Like a Corporation