Check-the-Box Practice Problems

Lobster, LLC is organized in New York as a Limited Liability Company. Lobster, LLC has only one member. All members of Lobster have limited liability. Is Lobster, LLC eligible to check the box? If so, what is its default status if there is no election under the check-the-box rules?

graph TD A((Lucca)) --- C("Lobster, LLC\n(New York, USA)") style C fill:#FFF,stroke:#000,stroke-width:2px

Blue entity means foreign.

White entity means domestic (U.S.).

Select your answer:

Yes, and its default status is a corporation.

Yes, and its default status is a partnership.

No, because a Limited Liability Company organized in New York is a per se corporation.

Yes, and its default status is a disregarded entity.

The code for this web page is significantly based on code created by Professor Sarah Lawsky on her practice problems page. The code for this web page can be found on my Github page.

Practice Problems on Check-the-Box Rules