Why can't a business choose to for an LLC, but they can form an LLP?

Every business is different in terms of tax situations, many regulations have notable changes from place to place.

Each business must introspect the possible types and take the help of a tax professional before making any decisions about tax liabilities.

LLC - Limited liability company 

LLP - Limited liability partnership 

LLC and LLP both have in common :

• The owners will pay income tax on the share they get from the business profit 
• Business must maintain a track of managerial functions
• A self-employment tax must be paid each business year
• Should have an operating document for decision making 
• Succession planning of the ownership and dividends 

Differences:

• For LLC the operating document is called the operating agreement 
• For LLP the operating document is called a partnership agreement 
• Owners of LLC are known as members 
• Owners of LLP are known as partners 

Registration :

• Businesses have to register as one of the specified type, Except in the case of a sole proprietorship 
• All the states will allow LLC, But may restrict the LLP to a few professionals such as architects, accountants, and attorneys
• LLC is allowed to have one or more members 
• LLP can have general partners or limited partners 
• In LLP general partners are the ones who will be participating in the ownership of the business 
• In LLP limited partners are the ones who invest and don't have any participation in the management decisions