The terms C-corp and S-corp
pertain to federal taxation chapters in the Internal Revenue Code.
Relief from this double-taxation is available for eligible corporations by filing an election with the IRS to be taxed as an "S-corp
It finds that banks with higher risk and banks that are not owned by a BHC have higher capital ratios, but that no economically significant relationship exists between capital holdings and S-corp
The Senate is poised to begin debate on its own student loan bill the week of May 7; however, their version of an extension would be funded by raising taxes on some S-Corps
. owners, the only way to vary compensation paid to principals owning equal shares of business is to fix their salaries at different levels.
"While S-elected LLCs are not new, many business owners believe that they have to choose between the tax incentives of a S-Corp
and the ease of an LLC.
* How do tax practitioners explain to their clients (who own an S-Corp
) the application of two seemingly contradictory rules, with one rule being that employers must pay and withhold employment taxes and a different rule being that distributions from S-Corporations to its shareholders are not subject to federal employment taxation?
Grog Jolivette (R-Hamilton) was expanded in the Senate and approved in the House to include, among others, changes in the taxation of S-Corp
. income at the municipal level.
Although it is fairly easy to move from an S-Corp
to a C-Corp, doing the reverse is more difficult.
For an S-corp
shareholder with insufficient basis to deduct corporate losses, a distribution from a qualified plan (or an IRA) could be loaned to the corporation and free up at-risk losses with the only tax cost being the 10-percent penalty.
Made by La Isha (an S-Corp
), Greenwood Village, (303) 601-7284, www.la-isha.com.
Health Insurance Deductibility: Health insurance expenses for S-corp
owners and Schedule C filers should be fully deductible as a business expense with no limits.