Situation

Charles owns his own business. He structured the business as a limited liability company (LLC) that’s disregarded for federal income tax purposes. Accordingly, Charles files his income taxes as a sole proprietor.

His business had been doing very well; but unfortunately, Charles suffered a physical injury that caused him to become disabled and he is now unable to work.

Prior to his injury, Charles planned for the possibility that disability might occur, and at the time of his disability, he was ... Log in to view full article.