Form Your 
S Corporation
and Save on Taxes

Start Your S-Corp Now
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S Corporation Formation Process

Week 1-2
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Documentation

Prepare and file Articles of Incorporation. Obtain EIN from IRS.

Week 2-3
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S Corp Election

File Form 2553 for S Corp status. Set up corporate structure.

Week 3-4
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Finalization

Complete corporate formalities. Provide corporate kit and documents.

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CEO, Tech Innovations Inc.

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Team Lead, Creative Solutions LLC

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Data Analyst, Insightful Analytics.

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Why Choose an S Corporation Structure?

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Growing Businesses

Ideal for companies with significant profits and businesses planning to reinvest earnings.

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Tax Efficiency

Ideal for companies with significant profits and businesses planning to reinvest earnings.

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Professional Image

Enhanced credibility with customers and easier to attract investors and employees.

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Future Planning

Simpler conversion to C Corp if needed and better structure for eventual sale.

S Corporation Tax Benefits

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Self-Employment Tax Savings

Pay yourself a reasonable salary and take additional profits as distributions, saving on self-employment taxes.

Potential savings::

Up to 15.3% on distribution amounts

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Pass-Through Taxation

Pay yourself a reasonable salary and take additional profits as distributions, saving on self-employment taxes.

Benefit::

No corporate income tax level

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Deduction Flexibility

Pay yourself a reasonable salary and take additional profits as distributions, saving on self-employment taxes.

Benefit::

Cleaner accounting for deductions

State-Specific
S-Corp Information

Get your S Corporations started with professional guidance and complete peace of mind.

State filing fees for S Corporations vary significantly. We provide a transparent breakdown of all costs involved.

  • Initial filing fees for Articles of Incorporation
  • Annual report fees (if applicable)
  • Registered agent service fees

State filing fees for S Corporations vary significantly. We provide a transparent breakdown of all costs involved.

  • Initial filing fees for Articles of Incorporation
  • Annual report fees (if applicable)
  • Registered agent service fees

State filing fees for S Corporations vary significantly. We provide a transparent breakdown of all costs involved.

  • Initial filing fees for Articles of Incorporation

State filing fees for S Corporations vary significantly. We provide a transparent breakdown of all costs involved.

  • Initial filing fees for Articles of Incorporation
  • Annual report fees (if applicable)
  • Registered agent service fees

Helpful Resources

Frequently Asked Questions

What's the difference between S Corp and LLC taxation?

An LLC is a business structure, while an S Corp is a tax election. An LLC can elect to be taxed as an S Corp to potentially save on self-employment taxes by splitting income into salary and distributions.

How much salary must I pay myself as an S Corp owner?

An LLC is a business structure, while an S Corp is a tax election. An LLC can elect to be taxed as an S Corp to potentially save on self-employment taxes by splitting income into salary and distributions.

Can I convert my LLC to an S Corp?

Yes, an existing LLC can elect to be taxed as an S Corporation by filing Form 2553 with the IRS. This is a common strategy for LLCs that start generating significant profits.

What happens if I miss the S Corp election deadline?

If you miss the deadline for filing Form 2553, you might still be able to get S Corp status by demonstrating "reasonable cause" for the late filing. It's best to consult a tax professional immediately.

Can non-US citizens own S Corp shares?

No, S Corporations have a strict eligibility requirement that all shareholders must be U.S. citizens or permanent residents. If a non-U.S. citizen owns shares, the S Corp election can be invalidated.

Do I need an operating agreement?

While some states don't explicitly require annual meetings for S Corps, it is highly recommended to hold them and keep minutes. This helps maintain the corporate veil and demonstrates that your business is operating as a separate entity.

Start Saving on Taxes with an
S Corporation

Join over 50,000 satisfied business owners who trusted Bloom365.

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