Posted: Tue Oct 23, 2007 10:12 pm
Gumbo wrote:i was thinking of setting up one because I carry an umbrella liability insurance policy, and that requires me to insure all my vehicles, duck boats, john boats, and 4 wheelers to the max liability limits. I was wondering if i created an LLC and sold my duckboats and 4wheelers to the LLC I could just carry the replacement insurance and they techinally wouldn,t belong to me anymore, just to the LLC. this should help reduce the cost i pay for my personal umbrella policy.
Just curious, would it be hard for an LLC to get insurance policies on vehicles?
Also, this LLC would really never have any taxes due because it wouldn't have any income....would this be a problem?
You can depreciate these assets to offset some taxes, but be careful if you fully depreciate them because when you sell them, you have to pay tax on the gain.