S-Corporation Status Election



S-Corporation Status election

All Corporations are C-Corps by default, but you can turn your Aged Corporation into an S-corp quickly and easily through S-Corporation Status Election. This is done just by filing IRS Form 2553. C-Corps are taxed at the Corporate Level, at Corporate Tax Rates which are almost always higher than Personal Tax Rates. S-Corps, on the other hand, are never taxed at the Corporate Level. They are instead taxed as Partnerships. The Corporate Income just flows through the Personal Tax Returns of the Shareholders and is taxed at the almost always significantly lower Personal Income Tax Rates. 95% of our Clients make the S-Corp election for this reason, and you probably should too.

 

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