Dealing With Tax Problems: Easy As Pie: Difference between revisions

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Revision as of 15:05, 8 October 2026

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The most widespread form of legal entity is the corporation. There are two basic forms, C Corp and S Corp. A C Corp pays tax according to its profit for the year and then any dividends paid to shareholders additionally taxed. Hence the term double-taxation. An S Corp however works differently. The S Corp pays no tax on profits. The money flows transfer pricing through which the shareholders who then pay tax on cash. The big difference totally free that the 15.3% self-employment tax doesn't apply.

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