Hello, does a general guide exist comparing and contrasting the different types of corporations and what tax advantages they provide?
Basically, my intent is to form a corporation for asset protection, I have not purchased a property yet, and pay less in taxes. I don’t know what the tax rates are or how much it costs to incorporate (up front and annual recurring).
Thanks for your time!
You can look up posts on here or a general internet search for S-corps and C-corps. People generally also want to know about LLCs too. Each state will have different filing and recurring fees. The correct data for that should be on each state’s Secretary of State website, but there are lists on the internet of costs organized by state (just don’t know if they’re completely correct or not. I’ve seen some that were outdated.).
http://www.reiclub.com/forums/index.php/topic,52517.msg258199.html#msg258199
http://www.reiclub.com/forums/index.php/topic,52493.msg258404.html#msg258404
most of the stuff on the internet is crap, written by someone who is trying to sell you something. Legalzoom’s “save thousands on taxes with an LLC” is but one example.
Have you checked for regulatory boards for taxes, if there is, in your area?
A business entity is formed under state law. Each state assesses different upfront and recurring fees. Upfront fees are typically $100-200 and recurring fees are typically $25-75 per year. Some states do not charge an annual fee and a few states charge over $100.