LLC vs S Corp vs C Corp: Which Business Structure Is Right For Your Business?

[@TobyMathis]

Would you like to learn more about this topic and talk to someone? Schedule a free consultation here: aba.link/y49

[@GuiloryGranteeGrandkid]

Are your LLCs protected with a NICER approved forgery proof arbiter interdiction trust to fund, record, monitor, validate, and certify it?

[@reelmansaltwater]

I like a lot of your content but you should know that reasonable compensation must be paid as a W2 wage before distributions. This reasonable compensation has nothing to do with the amount of money the company earns. Otherwise, the IRS can and will reclass the distribution, which best case scenario is a letter, worst an audit. I use a company that surveys my clients and based upon role in the company and location gives an accurate RC that can be used as backup documentation for the IRS. Just for the sake of letting you know I’m not talking out of my rear I’ll let you know I’m an EA and specialize in businesses and high net worth individual clients. Love the content.

[@ddh199595]

Wow , I called today on this subject matter. Thank you 🙏🏾

[@RealELconomics]

Good afternoon coach Toby 🤓

[@ssiiddhhuu04]

Very insightful! Thanks

[@mike2959]

It’s important to decide what business structure AND tax structure.

[@GenieWizardry]

Wow ok thank you. This is all new information too me!

[@vidolaem]

I just found out your channel a few days ago and have binge watched your videos. I wonder id you set up a LLC you can file tax as partnership 1065, or S corp 1120 S or C corp as 1120. Can you change them around or you can on stick with one form as of the date you set it up? Thank you so much for sharing your valuable knowledge. I really appreciate you.

[@davemcmahon22]

I’d like to hear more about the small business stock tax exemption. Could you do a video on that? Good news if it applies to LLCs taxed as C Corps.

[@TobyMathis]

I’ll definitely take your request into account.

[@jimd1617]

thank you

[@mac_vegas7026]

Which states provide better anonymity?

[@antwankeenan]

Great video once again! If you setup an LLC taxed as a Sole Proprietor and the income that is received is dividend income will that be taxed at the Capital gains rate on your Schedule C or ordinary income?

[@TobyMathis]

That's a great question. For a more personalized answer, I suggest scheduling a free 45-minute consultation with my team. We’ll provide advice tailored to your specific situation. Visit: aba.link/y49

[@rootfarm5138]

Do Wyo C Corps have to file taxes in Wyoming? then I would need to file in the state that I live in?

[@TobyMathis]

Wyoming C Corporations have to file taxes at the federal level with the IRS, but Wyoming does not have a state corporate income tax, so there is no state tax return required for Wyoming itself. If you live in a state that has a corporate income tax then you would need to file there.

[@SAVAGE_HIGHLIGHTS_CFB]

At what point do you get an LLC taxed at s or c corp I’m a vending machine owner in the early stages not quite sure how much I will make annually Do I have to be making 100 k before I can think about LLC s corp or c corp??

[@mike2959]

For starters form a LLC. No matter what. But if you’re the only “member” it would be treated like a Sole Prop at tax time. Number 1 reason to form a LLC is for legal protection. The vending machine leg breaks and fall on someone. They sue, they would sue your LLC and cannot get to you or your personal assets. But having the LLC registered with your state, a EIN, Insurance in the LLC name, business bank accounts, business credit card. Makes its “legit”. Now..when to convert the LLC to have it taxed a S Corp…in my mind it’s when the PROFIT of your LLC that you’re going to pay yourself is 50K or more. A S Corp allows you to take a portion of your salary let’s say 30K as a W2 employee then that other 20K as a distribution. While you have to pay income taxes on both, the 20K is not subject to the 15.3% self employment taxes FICA and med. So you would $3000 a year as a S Corp. Now understand that at tax time H&R or whoever does your taxes will charge more. A LLC offers you protection. It’s does nothing to save taxes. A LLC that elected to be taxed a S Corp this is where the tax strategies happen.

[@kingbb1]

Can C Corp reimburse the money put into an HSPA as well as premiums + bills???

[@ronkeobaro1647]

Like it🙏👏🏽👏🏽👏🏽

[@grace777jc]

Thank you Toby for your valuable content! Just to be clear, if someone owns a LLC taxed as a C-Corp, can their spouse's healthcare costs of medical, dental and vision be 100% reimbursed from the corporation too?

[@TobyMathis]

Hey, thanks for the support! I recommend registering for a complimentary consultation with my team. We'll tailor our advice to your specific needs. Sign up here: aba.link/y49

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[@TheRealityWeaver]

I need a personal tax person

[@TobyMathis]

Schedule a free consultation here: aba.link/y49

[@nicweethee]

How can you pay 0 percent tax on dividend income from your c-corp? That sounds like an audit waiting to happen? Lol

[@TobyMathis]

Qualified dividends from a closely held c-corporation are taxed at long-term capital gain rates, so it depends on your income. It might be 0, 15, or 20%.

[@nicweethee]

Oh ok. What if you’re a senior citizen? Or what if you only make 35k a year in w2 income but your c-corp makes more than you make in w2 income? Would you not be taxed on the dividends from your c-corp? Thanks for your channel Tony. I’m saving up to one day get my c-corp set up with you but want to make sure I know what one to set up. I may be attending one of your free courses. Hopefully I can get a day off soon.

[@JamesAutoDude]

LLC is really just self-employment with a legal umbrella, unless you change the tax designation to the S Corp or C Corp. But honestly corporations are true separation Also for C Corps, you don't have to pay out dividends like you do with S Corps. You can keep it in the business and reinvest/etc

[@GenieWizardry]

ooh?