MyCorporation is teaming up with Provident Trust Group to help business owners take advantage of all the benefits Solo 401(k)s and Solo 401(k) LLCs have to offer. Provident Trust Group is an IRA Custodian. They currently establish accounts for nearly 200 business owners monthly which has led them to a client base of more than 20,000. They’ve even landed on Inc.’s 500|5000 list of fastest-growing private companies four years in a row. (more…)
By Greg Lindberg, 1800Accountant.com Writer
Decision-making is a huge part of being an entrepreneur and, eventually, a start-up business owner. One of the decisions you have to make during this often challenging process is to settle on a specific business entity to operate. An S corporation is one option you can go with. 1800Accountant.com, a partner of MyCorporation, recommends understanding the following information about how S corporations are structured and taxed before choosing to set one up.
The term “S corporation” originally took on its name from Subchapter S of Chapter 1 in the federal Internal Revenue Code. In general, an S corporation does not pay federal income taxes at the corporate level. However, this does not mean it is exempt from paying taxes altogether. The difference with this type of business entity is that it elects to have its profits, losses, deductions, credit, and all other activities passed through to the shareholders who are invested in the company. These shareholders must report this financial activity on their personal income tax returns.
It’s a question that’s much more commonly asked than you think – are there any benefits to non-U.S. residents filing corporations or LLCs in the United States or is the process so complicated that it’s best to avoid doing it? The answer is the procedure is fairly similar to what residents of the United States experience filing and that yes, there are a series of great benefits that come in doing so.