Unique LLC, S-Corp, C-Corp Question

     I' m married and currently a United Nations employee who also happens to be a U.S. American citizen. I do not enjoy the tax advantages that most Americans citizens enjoy because of the  tax structure of the U.N. All tax return reimbursments due to me go back to the U.N.  The U.N. does  pay my taxes and I'm considerd self-employed. I pay one-half of my self employment tax (schedule SE for social security) and the UN pays the other half. I do not Itemize. When I file my tax return, The U.N. reviews it before I mail it to the I.R.S.
     This is the question? ... I'm planning to wholesale , retail and than eventually buy and hold etc.. in Connecticut in 2006. I want to know what kind of legal entity should I create to protect and shield my real estate investment profits? I have heard that I should incorporate in Nevada.

Should I start out as a S-Corp an eventually gravitate to a LLC or should I?
My wife would be involved in the business process but I want to maintain control and not have any of this show on my 1040.

Any creative solutions would really help tremendously.

Only a C-corp that retains all income earned would not have any income reported on your 1040.

Not true with any other business entity.

Dave is right, with another possible pitfall. You may (and I’m not certain) run into an issue if your corporate returns pay zero salaries to employees / officers. If you and your wife file seperately then you could pay her as the officer and you just retain shareholder’s rights while she ‘manages’ the day to day operations. If you file jointly you certainly can’t pay salaries because you’d have to show the w-2 income.

Thank very much for the response… so if I file separately and form a C-Corp let’s say in Nevada and file as a foreign corporation in Connecticut, would that be sufficient?
Do you know what kind of fees this might entail?
What forms would I have to file?

Again I really appreciate all the information.

Let me start by saying I am neither a CPA or Attorney. However, you mentioned you are married. How about having your wife file her taxes seperately instead of jointly and have her be the one on all the paperwork in whatever entity you utilize for your investments.

I personally use different entities based on my plans for the investments.