Last piece in the Incorporating Puzzle
You may keep owners off tax return. You will need 3 or more Stockholders or Members.
You may take a 100% Deduction on Medical Insurance.
Corporation can own Property (land, car, boats, planes, etc.) and depreciate it or take as full deduction.
Corporation can pay for business trips. Full deduction
$50,000.00 or under on profit is taxed at 15%
Can have a different tax year end. This is important when your managing money and can be a big help at tax time.
We feel this is the best structure to maintain privacy for the owners of a corporation.
The Disadvantages of 1120 Form // C- Corp
Double Taxation: If you are to take money personally you must be paid a salary or 1099. If you pay a dividend then the company must pay taxes as profit and individuals must pay taxes as income.
Profit over $100,000.00 is taxed at 39%