In this video on S Corporation, here we discuss key features of S Corporation, along with its practical examples and advantages. ๐๐ก๐๐ญ ๐ข๐ฌ ๐ ๐๐จ๐ซ๐ฉ๐จ๐ซ๐๐ญ๐ข๐จ๐ง (๐ ๐๐จ๐ซ๐ฉ)?
--------------------------------------------------------
An S Corporation is one such category of business entity.The name is simply "small company". A company entity's structure or features help to differentiate it from other kinds.
๐๐๐ฒ ๐ ๐๐๐ญ๐ฎ๐ซ๐๐ฌ ๐จ๐ ๐ ๐๐จ๐ซ๐ฉ๐จ๐ซ๐๐ญ๐ข๐จ๐ง
-------------------------------------------------------
#1 - The entity must be a "domestic corporation." A domestic corporation refers to an entity whose ownership can not include non-resident shareholders.
#2 - An entity must have less than or equal to 100 shareholders.
#3 - Trusts and estates that are considered as charitable organizations and receive tax exemptions and can be considered as shareholders.
#3 - Partnerships or other corporations cannot qualify as shareholders. Members of the family are treated in S Corp as a single shareholder.
๐ ๐๐จ๐ซ๐ฉ๐จ๐ซ๐๐ญ๐ข๐จ๐ง ๐๐ญ๐๐ญ๐ฎ๐ฌ ๐๐๐๐ง๐ข๐ง๐
------------------------------------------------------
The "Internal Revenue System (IRS)," which is the only U.S. tax collection agency, imposes the Internal Revenue Code (IRC) on Corporations.
IRS categorizes corporations based on certain criteria for S corporation tax purposes.
๐๐๐ฏ๐๐ง๐ญ๐๐ ๐๐ฌ ๐จ๐ ๐ ๐๐จ๐ซ๐ฉ๐จ๐ซ๐๐ญ๐ข๐จ๐ง
-----------------------------------------------------
#1 - One of the significant benefits an S corporation enjoys is that it is not subject to income tax on income.
#2 - This is subject to partnership-like taxation in which all income or losses are shared between all its owners or shareholders.
To know more about ๐ ๐๐จ๐ซ๐ฉ๐จ๐ซ๐๐ญ๐ข๐จ๐ง (๐ ๐๐จ๐ซ๐ฉ), you can go to this ๐ฅ๐ข๐ง๐ค ๐ก๐๐ซ๐:-
Subscribe to our channel to get new updated videos. Click the button above to subscribe or click on the link below to subscribe -
0 Comments