Businesses
S corporations, partnerships, C corporations, and the entity filings that go with them, including the K-1s owners need and what a late return costs.
Business meals, travel, and vehicles: what survives an audit
Business meals are generally 50 percent deductible, entertainment is not, and vehicle use needs a log. What survives an audit is a record written at the time.
What an S corporation election actually does, on Form 2553
Form 2553 does not create a company. It changes how an existing corporation or LLC is taxed, from a date you choose, provided it is filed on time with every consent.
Choosing between an LLC, an S corporation, and a C corporation
An LLC is a legal form, not a tax choice. The real question is how the business is taxed: on your return, as an S corporation, or as a C corporation paying its own.
Payroll for a one person S corporation
One employee still means real payroll: quarterly returns, an annual return, deposits on a schedule, and a W-2 by January 31. Each carries its own penalty.
S corp owner salary: what counts as reasonable compensation
There is no safe percentage for an S corp owner's salary. How the IRS weighs reasonable compensation, what a low figure risks, and how to document the number.
Reading your K-1, and what to do with it
You are taxed on your share of the profit whether or not any of it was paid out to you. The basis figures decide whether a loss is usable at all.