HOW TO QUALIFY FOR S CORP STATUS

Considering filing for Subchapter or Small Business Corporation (S Corp) to qualify, the IRS states your business must:

  • Be a domestic corporation

  • Not be an ineligible corporation (there are a few businesses such as financial institutions, insurance companies, and domestic international sales corporations that don’t qualify)

  • Have no more than 100 shareholders

  • Have only allowable shareholders – which may include individuals, certain trusts, and estates, but it can’t include partnerships, corporations, or non-resident alien shareholders.

  • Have only one class of stock​​

Forming a S Corporation can provide your business with a number of benefits, if your business meets the criteria.

Business Meeting
Businesswoman in white

PROS & CONS OF A BUSINESS

Form a business is a big step and there are both positive and negative to consider.

Pros

  • No legal liability — You are not personally liable for any debts or liabilities that your business incurs. You’ll be able to separate yourself from your business.

9 TEAM-BUILDING STRATEGIES

This is your News Article. It’s a great place to update your visitors with industry insights, business tips or additional success stories. You can also use this space to publish relevant updates and link to helpful resources for your visitors. Choose a great image or photo to feature in your article or add a video for extra engagement!

Business Conference
A

Askgamblers bitstarz complaints, 30 darmowe spiny no deposit bitstarz

More actions