Content by Ivan H. Golden (Chicago)
Many businesses operate as S corporations because of the tax benefits they offer – namely, the ability to avoid corporate tax on the business’ earnings.
Unlike C corporations, S corporations do not pay income tax; instead, profits (and losses) are passed through to owners, who pay tax on the corporation’s earnings on their individual income tax returns. The ability to lawfully avoid corporate income tax often results in a lower overall tax burden for
Continue Reading Did You Know that Making Unequal Distributions to S Corporation Shareholders Will Not Necessarily Terminate the Corporation’s S Election?