S-Corp or C-Corp: Suggestions? - GoFuckYourself.com

Smut · 01-09-2009, 08:35 AM

I'm in the process of setting up a mainstream company. I've been reading about the differences of an S-Corp and a C-Corp. There doesn't seem to be much of a difference other than the C-Corp can be willed to another person and passed-down. Whereas an S-Corp cannot. As well there seems to be some other technical aspects that I don't quite follow. The verbage about them is a little bit too "legalese".

What are the benefits that you know of for either one of them? I know about Nevada, Deleware and Oregon for your articles of incorperation, but what else? Is C-Corp a pain in the neck to manage?

Any assistance is appreciated.

Barefootsies · 01-09-2009, 08:38 AM

Everyone has always told me an S-Corp, formed in Nevada.

The reasons I can't remember now. Something about the self employment tax, and getting around being double dipped or some shit. Anyways...

Smut · 01-09-2009, 08:39 AM

Quote:

Originally Posted by Barefootsies

Everyone has always told me an S-Corp, formed in Nevada.

The reasons I can't remember now. Something about the self employment tax, and getting around being double dipped or some shit. Anyways...

I heard this also, and have read that some of the C-Corp tax benefits outweigh S-Corp. But I'm no tax-guy, so it doesn't really make much sense to me.

Barefootsies · 01-09-2009, 08:41 AM

Quote:

Originally Posted by Smut

I heard this also, and have read that some of the C-Corp tax benefits outweigh S-Corp. But I'm no tax-guy, so it doesn't really make much sense to me.

I think fawkedup has a regular C-Corp, and I remember many conversations about him crying in his beer about the legal bullshit he has to do, and tax stuff. He told me to never form one.

Smut · 01-09-2009, 08:43 AM

Quote:

Originally Posted by Barefootsies

I think fawkedup has a regular C-Corp, and I remember many conversations about him crying in his beer about the legal bullshit he has to do, and tax stuff. He told me to never form one.

Sounds like it's a vote for S-Corp.

2012 · 01-09-2009, 09:25 AM

No S-Corp.

A very talented and experienced tax person told me this is the worst type you can get if the company is basically just you. Unless you don't mind spending more on fees and time on "red tape"...

Sosa · 01-09-2009, 09:55 AM

I have an s-corp and I don't pay a lot of fees.

2012 · 01-09-2009, 09:57 AM

Quote:

Originally Posted by Sosa

I have an s-corp and I don't pay a lot of fees.

I meant extra work for your tax person $. Keeping all the paper work current and the way it's supposed to be etc. etc. Could just be an S-Corp in CA.

It was her opinion.

baddog · 01-09-2009, 09:58 AM

S-Corp for now. It is all about the paperwork and the easy access to shareholder payouts.

koreanbbque · 01-09-2009, 11:14 AM

Depends on what you're concerned about.

Talk to Tax Attorney.

C-Corp better legal protection I believe over a S-Corp

If you're concerned about taxes and saving money, then I think S-Corp.

But talking to a lawyer is your best bet.... at least talk to a CPA.

OMG Jim · 01-09-2009, 11:56 AM

If you are considering a S Corp you may also want to check out the structure of a LLC. I have had a couple of S Corps and the main reason was as someone mentioned for saving on taxes and being able to deduct more in expenses.

If you decide on the S Corp just make sure you save ALL receipts both business and personal for potential deductions. This was the main reason I choose the S Corp.

_

FreeHugeMovies · 01-09-2009, 12:00 PM

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01-09-2009, 08:35 AM	#1
Smut Confirmed User Join Date: Sep 2002 Posts: 654	S-Corp or C-Corp: Suggestions? I'm in the process of setting up a mainstream company. I've been reading about the differences of an S-Corp and a C-Corp. There doesn't seem to be much of a difference other than the C-Corp can be willed to another person and passed-down. Whereas an S-Corp cannot. As well there seems to be some other technical aspects that I don't quite follow. The verbage about them is a little bit too "legalese". What are the benefits that you know of for either one of them? I know about Nevada, Deleware and Oregon for your articles of incorperation, but what else? Is C-Corp a pain in the neck to manage? Any assistance is appreciated.

01-09-2009, 08:38 AM	#2
Barefootsies Choice is an Illusion Industry Role: Join Date: Feb 2005 Location: Land of Obama Posts: 42,635	Everyone has always told me an S-Corp, formed in Nevada. The reasons I can't remember now. Something about the self employment tax, and getting around being double dipped or some shit. Anyways... __________________ Should You Email Your Members? Link1 \| Link2 \| Link3 Enough Said. "Would you rather live like a king for a year or like a prince forever?"

01-09-2009, 11:14 AM	#10
koreanbbque Confirmed User Join Date: Dec 2003 Location: Riverside and San Diego Posts: 688	Depends on what you're concerned about. Talk to Tax Attorney. C-Corp better legal protection I believe over a S-Corp If you're concerned about taxes and saving money, then I think S-Corp. But talking to a lawyer is your best bet.... at least talk to a CPA. __________________ KBBQ 2 3 1 6 1 8 8 1 6

01-09-2009, 11:56 AM	#11
OMG Jim Confirmed User Industry Role: Join Date: Oct 2005 Location: Atlanta Posts: 3,153	If you are considering a S Corp you may also want to check out the structure of a LLC. I have had a couple of S Corps and the main reason was as someone mentioned for saving on taxes and being able to deduct more in expenses. If you decide on the S Corp just make sure you save ALL receipts both business and personal for potential deductions. This was the main reason I choose the S Corp. _ __________________ ICQ: 254 914 537 - Skype: AlmightyJim

01-09-2009, 09:25 AM	#6
2012 So Fucking What Industry Role: Join Date: Jul 2006 Posts: 17,189	No S-Corp. A very talented and experienced tax person told me this is the worst type you can get if the company is basically just you. Unless you don't mind spending more on fees and time on "red tape"...

01-09-2009, 09:55 AM	#7
Sosa In Tushy Land Join Date: Oct 2002 Location: Nebraska Posts: 40,149	I have an s-corp and I don't pay a lot of fees.

01-09-2009, 09:58 AM	#9
baddog So Fucking Banned Industry Role: Join Date: Apr 2001 Location: the beach, SoCal Posts: 107,089	S-Corp for now. It is all about the paperwork and the easy access to shareholder payouts.

01-09-2009, 12:00 PM	#12
FreeHugeMovies Too lazy to set a custom title Join Date: Dec 2001 Location: Charlotte, NC Posts: 14,137	Sssssssssssssssssssssssssssssssssssss