The IRS classifies an LLC in Michigan based on the number of members and the elections made by the LLC. A domestic LLC with at least two members is classified as a partnership for federal income tax purposes unless it files Form 8832 and elects to be treated as a corporation.
An LLC with only one member is treated as an entity disregarded as separate from its owner for income tax purposes unless it files Form 8832 and elects to be treated as a corporation. However, an LLC with only one member is still considered separate for employment tax and certain excise taxes.