An S-Corporation or S-Corp is a common type of business entity in the United States. Incorporating your business means more protection of your assets as well as avoidance of double taxation.
Visit GovDocFiling.com for a simple and fast way to fill out and submit an S-Corp application. Gov Doc Filing has experts available to answer any questions that may arise before, during, and after the application process.
Advantages of an S-Corp
An S-Corp offers its shareholders (owners) the same limited liability offered as C Corporations. This means that the owners are not personally liable for the corporation’s liabilities and debt. However, an S-Corp has what is called Pass Through Taxation. S-Corps do not pay taxes itself but passes it on down to the owner’s personal tax returns where they report both profits and losses of the corporation.
In addition to limited liability and Pass-Through Taxation, an S-Corp provides easy transfer of ownership. This ownership transfer takes place through the sale of stocks. An S-Corp also does not have a limited life. In the event of a disabling accident or death of the owner, the corporation does not cease to live.
With an S-Corp, the capital is raised more easily. This is accomplished through the sale of stock. An S-Corp is also considered to be legitimate/professional than other entities. As an S-Corp, you have the ability to save self-employment taxes. This is due to the owners having the ability to classify themselves as employees.
Quick, Reliable, and Safe
To ensure you get all these benefits and more that are offered with an S-Corp, it is important to file for S-Corp prior to the company making any money.
To quickly apply for an S-Corp classification, head on over to GovDocFiling online. Their simplified application is processed through a secure connection and delivered to you fast through your email.