Explain why a company would want to switch from an S corporation to a C Corporation. Are there any incentives or tax advantages?
What is An S-Corporation:
An S-Corporation is a business structure that is legally only permitted in the United States for its citizens. An S-Corporation is a hybrid between a corporation and a partnership since the income earned flows through to the owners of the company.
Answer and Explanation: 1
There are many incentives for choosing a C-Corporation structure instead of an S-Corporation, the main ones being:
- C-Corporations have can have an...
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fromChapter 5 / Lesson 10
What is a corporation? Learn the types of corporations, corporate form, and the main advantages plus disadvantages of corporations, including multiple examples of corporations.