EIN for Multi-Member LLC

[jalarin]

I recently registered a federal tax id (EIN) for my LLC which has two members. We formed an LLC for our e-commerce site.

From my understanding, an LLC may be treated as a partnership, a corporation, or be disregarded as an entity separate from its owner by the IRS.

When I applied for my EIN it said the IRS initially classifies mutlimember LLC's as a partnership. I was wondering if I would want my LLC classified as a S-corporation instead of a partnership? From what I have gathered this is the best choice but I am not sure. Can anyone please help?? If so, what do I need to do to have my LLC classified as something different?

Thanks a lot!

jalarn

[GuyBBY]

There are certain reasons as well as certain provisions that come along with filing as an S Corp, mainly dealing with tax laws and filings, etc.

I refer you to this post, where you will see links I provided differentiating the certain structures:

On IRS.gov, I chose LLC as a Corporation...can I change to Passthrough?

For most businesses at the E-Commerce/Start up point, the pass through is the easiest, most convenient for fees and taxes, as well as sometimes the only one you would qualify regarding the scope and purpose of your business.

If you want to have it classified as a pass through entity, you simply say so when filing for the EIN and sometimes on your Articles.

Hope this helps.

Guy