if you are an owner of an LLC, monies you receive from it are called "guaranteed payments" and can be to compensate you for labor, use of capital, or both. those payments will be listed on the K-1 given you by the LLC, and you will be taxed on your 1040 as self-employment income.
If there is a surplus of funds after the LLC has received revenue, paid expenses, and paid guaranteed payments, the residual is credited to each owner's (owners are called members) capital account. The individual pays taxes on that money the same way, even though the cash stays in the LLC's bank account. It can then be dispersed some time in the future, and the capital account is debited accordingly.
as far as tax advantage- the important question is compared to what? compared to a partnership or sole proprietorship, the taxes will be exactly the same.
don't know a whole lot about s corp, but there is the advantage of not having double taxation if comparing to a c corp.
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Today's Featured Article - Hydraulics - Cylinder Anatomy - by Curtis von Fange. Let’s make one more addition to our series on hydraulics. I’ve noticed a few questions in the comment section that could pertain to hydraulic cylinders so I thought we could take a short look at this real workhorse of the circuit. Cylinders are the reason for the hydraulic circuit. They take the fluid power delivered from the pump and magically change it into mechanical power. There are many types of cylinders that one might run across on a farm scenario. Each one could take a chapter in
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