TAX PLANNING - Business C-Corp

Advantages of a Business C-Corp

Definition of a C Corporation?

  * Is legally independent from its owners
  * Is not a personal tax liability for its owners
  * Has a more complex structure than a limited liability company
  * Has a board of directors and shareholders

Advantages of a C Corporation

Limited Liability: Owners are not personally liable for the company's losses or debts. Their investments in the company are their only financial risk, unless they personally guarantee the debt.

Tax Benefits: There are a number of tax benefits for a C Corporation. Depending on your business income, creating a C Corporation could lower your tax rate.