Are Single Member LLC's or Schedule C filiers more prone to IRS Audits?
A question to our fellow CPA's on this board, "Are Single Member LLC's or Schedule C filers more prone to IRS Audits?"
If that is so, do you recommend that we as CPA's start to advise our Schedule C filers to convert to an S corporation, and have the Single Member LLC admit another partner to form a 2 Member LLC and file a Form 1065 Partnership Tax Return?
Any thoughts would be most welcome! Thanks in advance!!!