The Evolution Of Self-Employment Taxes And The Reasonable Salary
- April 1, 2016
- Posted by: RCR Admin Team
- Category: Blog
By Richard Pasquantonio, CPA/CFF, CFE, CDFA (Guest Author)
S corporation (S Corp) taxation is a popular election for many business owners who originally decide to form an association (corporation) or limited liability company (LLC). Some major advantages of S corp status are:
- a single layer of tax applied at the individual level also referred to as pass-through taxation and
- tax-favorable characterization of income such as a portion of earnings protected from the brutal self-employment taxes.