Tax Benefits of a C Corporation: Better Than an LLC?

[@ftruth1905]

This is the best video explaining c-corporation & llc what I’ve seen so far

[@LYFEAccounting]

I’m glad to hear that, I put alot of effort into it

[@GenieBarlan]

My thoughts exactly. Best explanation. I listened to many other videos, they give me a headache. I wish KZbin would bring this up first

[@edgarandrade5820]

I had a long talk with my CPA and decided to become a c corp. A lot of what cpa said you mentioned. Thank you

[@koicaine1230]

Did you do the paperwork yourself? I'm towards the end of the process and it's fascinating yet so confusing. Technically I exist but only on paper and since I didn't know that C Corps could choose their due dates (until this video), my first official tax return is an extension 😂 that 1120 is a beast!

[@businessacc179]

Excellent content. I’m starting a tech company and had a tax lawyer try to shame me for not founding the firm as an LLC. We proceeded as a C Corp in DE. Want to be ready for investors!

[@chefhak]

Great movie, I had to convert my LLC to c corp

[@deniawiseone95]

​@@chefhakYou didn't have to convert it if lm not mistaken. You could have formed a c corp & js put the baby (llc) underneath it 😊

[@JamesAutoDude]

Just keep in mind that opening in a different state doesn't prevent you from needing to open in your own state. You're actually doing some harm in some ways because you'll have to keep 2 states up to date lol Regardless you still have to register and pay the same amounts in your home state (or whatever you're doing business) Better to just open direct in your home state

[@stealydealies]

MAN OH MAN. I was sooooooooo concerned about my income and taxes through a C-corp. I was suggested I file as a C-Corp but COULD NOT UNDERSTAND WHY Until this very video. Thank you so so so much.

[@ministerdixon]

Well done Lyfe! Perfect explanation and super easy to follow with clear define statements and facts over the C-Corp. Beautiful!

[@azizroshid890]

Thank you for the video. Please make a video about taking money out of your C Corp without being subjected to double taxation.

[@ledfootdude]

Can't happen, if you don't want to be double taxed you need to do an S corp or LLC taxed as S corp but you can't do a lot of the stuff C Corps can do

[@deniawiseone95]

You can borrow from the corporation & it wont be treated as taxable dividend. However the lrs might investigate the transaction to ensure its not a "disguised" dividend. This may require the loan be paid back at a reasonable interest rate.

[@nkt3132]

Take the salary which is tax deductible for C corp

[@abrishalay5577]

Thabks for making thus video, I was trying to explain to someone how a C Corp is a better fit for my business down the line (not today) and I couldn't do it justice. This was perfect to send to them and I'll likely use your accounting firm in the future.

[@koicaine1230]

This information is so valuable. Thank you for sharing.

[@angellkemokai1432]

Thank you so much for this information. I needed guidance.

[@nkt3132]

In the last screenshot “If you are anticipating a need to rise A LOT OF CAPITAL along with an anticipation that you will earn a lot of profit (at least $400k per year)? We need to have at least $400k profit to start an C corp?

[@koicaine1230]

FWIW: I'm a C Corp and my business account has never had more than $200 in it. I will be raising Capital, I'm just not ready to take that leap until I learn more. I keep the company afloat with personal money and since I'm not operational yet, my overhead is very low. I hope that helps 🙏

[@laofus]

thank you for video. Can I set my salary low to reduce long term capital gain tax rate or to reduce dividends tax rate?

[@MarvillousBeats]

Well done thank you

[@samisartawi]

Can you do a video that differentiate briefly all the entities that are available for business and which one is best for you !!

[@LYFEAccounting]

Great suggestion! I'll add it to the idea list

[@jaylealarcon8082]

Thank you so much brother

[@SimpleAbundance]

Dropping a line to show some support. Thanks for sharing your knowledge 📈

[@GwenOwens-h1o]

Very helpful information

[@mikejunk4285]

What are your thoughts on ROBS 401k business startups? I know they have to be a c-corp, but does it make sense for someone to do that if they will be the only employee of that business?

[@certifiedangels9281]

Hello, is there a way to take a one on one class with you ?

[@apriltownsend7362]

🤔 Would you suggest a sole preparator if my product is sold in farmers markets and there is little risk of me being sued. When I expand I will have workman's comp. Thanks

[@LYFEAccounting]

Hey April, so what kind of product is it?

[@LYFEAccounting]

I had a similar thought, but wanted to see if the risk level of the product.

[@dennis-theguyfromitaly9787]

But by being an LLC you can choose how to be taxed. So by being taxed as a C corp is not the same?

[@LYFEAccounting]

Correct. This video is meant to just breakdown the tax benefits between the default LLC tax rules and C corp tax rules

[@eleonzocaldeeon1131]

Just a question can I change from sole to corporation even if I just have my license as sole proprietor?

[@prettyybrwn]

Yes you can. Call a lawyer a lot of times they give free info

[@abundant_sy4158]

Question if you have an llc can you just use the c crop to just run it how does that work

[@1HarlemBarbie]

To make sure I understand a c corp. You are taxed at a corporate of 21%, then taxed on the dividends but you are not required to take dividends if you are a owner/shareholder, correct? Now are you required to pay yourself a reasonable salary like an s- corp?

[@deniawiseone95]

Yes you pay youself a salary receiving your own w2 with taxes taken out.😊

[@FinancialFreedomMadeSimple]

Great content!

[@fritzbookman7243]

As a C Corp. do you pay taxes on loans

[@LYFEAccounting]

No, you normally wouldn't pay any taxes on loans or credit lines unless it was converted into a grant or something, like what happened with the PPP loans

[@emiliagamboni6644]

Can you make videos about the different options if any for small business on health care. What is it required or helpful for a small business or sole proprietor?

[@nataliejerome4537]

You made several references to a company’s physical year. Did you mean fiscal year?

[@davidli3742]

that was really weird lol

[@mike-ej9hz]

Do I need to sign a prenup to protect my C Corp from divorce? Or is it completely separated from me?

[@deniawiseone95]

I believe It's separated from you but when ur talking marriage and prenuptial l wud put that corp in a trust to really seperate & protect what's yours. Talk to a tax attorney or advisor tho.

[@interstateceo303]

Will this be good way to pay less alimony, child support?

[@Whichofthefavors]

I watch your videos and I am learning about taxes. Thank You so much. I have a question that I am hoping that you can answer please. I started a business a few years ago and purchased equipment, business cards, po box address and products to sell. However I didnt keep up with my website and literally made a few sales from my friends in the past 4 years. Not even $50.00. I had so much going on in my life. I am determined to get back on track this year and include my business when I file my taxes in 2023. So can I write off the equipment that I purchased, my business cards, products etc, anything I purchased for my business if I purchased it a few years ago? Im not sure how it would work for me. Or do I just include anything that I have purchased for my business this year 2022. I would really like your expertise advice. Thank You.

[@blec.g7522]

do you have video explaining how to switch S corp to C corp? thank you !!

[@JamesAutoDude]

You file a change with the IRS

[@beaut_]

So if I filed self employed but also have a llc thats registered to be taxed as a c corp how would I go about filing it?

[@TorracaEnterprises]

What would happen if the C-Corp is owned by a LLC 100% ? How does the tax status effect the structure ?

[@headlibrarian1996]

Nothing.

[@concernm.1140]

Do I need to pay myself as ceo/owner of a corporation?, corporation is not making a profit yet.

[@LYFEAccounting]

If you are actively working as the CEO, then should consider paying yourself when you are profitable using the 60/40 salary rule

[@blakeharris6042]

Can a holding company be taxed as a c corp?

[@LYFEAccounting]

Yes, of course

[@JamesAutoDude]

LLCs are just liability protection but still self employment. Same with S Corps (and LLCs electing S Corp). Thats why investors don't care about them The fees are all the same, just go C Corp (which is default if you're a corporation) There's plenty of ways to avoid double taxation and anyone who says otherwise just lacks knowledge.

[@johnvaughn7278]

thank you.

[@joshuamcintosh7706]

9:55

[@darkghostninja2962]

Bro really Asserting that C hard

[@Alaska-01]

Not all the income is taxed with 37% there are tax brackets.

[@crazycdn8327]

You can take loans out from your c-corp too at nearly any interest rate and term you wish. If you don't have outside shareholders with a say in the matter. Say for a family run business. Unless your wife votes it down lol.

[@tarunarora1068]

Your Calculation is wrong. Under Personal Tax you follow a Tax Slab and you are taking a big number to calculate.

[@jayhudson2075]

Me too

[@lucface]

Say physical year one more time

[@chicago9458]

Pretty informative bro. Check out how to pronounce “fiscal” 😉

[@martinjkneece66907]

Talk to much get to the point