sole proprietorship, partnership or other tax election. Each business type has its own advantages, and you should carefully weigh the pros and cons of electing S corp status to decide if this is ...

Many sole proprietorships are funded in the early years out of their owner's personal bank accounts and with help from ...

File Form 8832 to tell the IRS that you don't want your LLC taxed as a sole proprietorship or partnership under the default rules, but instead as a corporation. To elect for S-corp treatment ...

“You start operating, and that’s a sole proprietorship,” says Steve Primosch, vice president of financial services with the Anne Arundel Economic Development Corporation of Marylan ...

McAlary lost in Tax Court, the decision in his case shows that S Corporations are still a valid self-employment tax avoidance strategy. If you operate as a sole-proprietorship, all of its income ...

Both corporations as well as LLCs can elect S-corp status. A single-member LLC defaults to being taxed as a sole proprietorship but can elect to be treated as an S-corp for tax purposes.

Browse Investopedia’s expert written library to learn about sole proprietorships, LLCs, S-Corp, C-Corp, and more. C corps, which offers their owners the strongest protection from personal ...

The paperwork and formalities, however, are substantially less than those of corporations ... conducted under a fictitious ...

Income and losses are taxed on the individual's personal income tax return ... something that partnerships, LLCs and corporations cannot do. Sole proprietorships often have their bank accounts ...

Thinking of forming an LLC? Learn the benefits, when it's worth the effort, and why some sole proprietors might be better off ...

Cons: A primary disadvantage of operating as an S corporation relates to estate tax rules. Upon the death of the owner of a sole proprietorship, the inventory, land and depreciable assets of the ...