S-Corporation Case Study

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S-Corporation:

o Liability – All s-corporations have the same restriction when it comes to liability as regular corporations. Shareholders of s-corporations are protected because partners can only lose the amount that they have invested into the corporation nothing more and nothing less.

o Income Taxes– All s-corporations are usually taxed like general partnerships and sole proprietorships if they want to be. S-corporations do not pay corporate taxes but shareholder have to pay any there own personal tax on any corporate profits they receive.

o Longevity and or Continuity- An s-corporation can stay in business only while the business meets the legal restrictions that have been set. The business can be switched over to a regular c-corporation

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