Just a friendly reminder
#16
Originally Posted by Gilley
The only PA's I am familiar with are law firms. But some law firms are LLC's.
I know some realtors who are P.A.s, that's why I was asking. I was pretty sure that it is only for liability/asset protection, but didn't know if there were any tax implications or benefits.
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Originally Posted by QuadCam
I know some realtors who are P.A.s, that's why I was asking. I was pretty sure that it is only for liability/asset protection, but didn't know if there were any tax implications or benefits.
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well under the Scorp you can get around paying good portion of SE tax/FICA through profit distributions. Which is 15.3% of savings. pretty big you just have to make sure they pay themselve a reasonable wage. However there are some cost to the savings quarterly filings for 941, UCT-6 and payments for your 940. You just have to make sure the benefit out weighs the cost.
I would say LLCs are more complicated then Scorps unless its a single member LLC.
I would say LLCs are more complicated then Scorps unless its a single member LLC.
Last edited by WILD121; 03-15-2007 at 09:16 PM.
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Originally Posted by WILD121
well under the Scorp you can get around paying good portion of SE tax/FICA through profit distributions. Which is 15.3% of savings. pretty big you just have to make sure they pay themselve a reasonable wage. However there are some cost to the savings quarterly filings for 941, UCT-6 and payments for your 940. You just have to make sure the benefit out weighs the cost.
I would say LLCs are more complicated then Scorps unless its a single member LLC.
I would say LLCs are more complicated then Scorps unless its a single member LLC.
LLCs are NOT more complicated than corporations.
Okay, enough tax talk.............now for some fun tomorrow.
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Originally Posted by roncfpz
You better have a good basis upon which to justify a "reasonable compensation" of anything less than the maximum social security wage base. It's not a fight I would want to have with the IRS unless you have very compelling industry data to support your position.
LLCs are NOT more complicated than corporations.
Okay, enough tax talk.............now for some fun tomorrow.
LLCs are NOT more complicated than corporations.
Okay, enough tax talk.............now for some fun tomorrow.
naturally
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