Yes, an LLC can elect to file as an S Corp.
There are a series of articles I wrote for BizFilings.com that will answer some of your questions:
- What is the Best Entity for Your Business?
- The Non-Profit as a Business Model
- Tax Issues Regarding Copyrights and Trademarks
- Business Licenses You Need and Trust
- Now That You Have an LLC, it’s Time to Make Tax Decisions
The entire Chapter 3 of Small Business Taxes Made Easy is about the pros and cons of each type of entity – and gives you tips on how to select one.
But, if you are forming an entity of any kind and starting a business, this will be your livelihood for years to come. Don’t you think it is to your advantage to consult with a tax professional in-depth to help make the right decisions? Doing the planning up front will save you a fortune in taxes – and revisions – in the long run. And a good tax advisor probably has the contacts and expertise to help you increase your profits, as well.
And remember, you can find answers to all kinds of questions about choosing the right business entity and other tax and business issues, free. Where? Where else? At www.TaxMama.com.[Note: If you were subscribed to the e-mailed version of TaxQuips, you’d be getting other exciting news and tips by e-mail, that never appear on the site. Please click on the join TaxMama.com link – it’s free!]
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