Notice to LLC Owners
A Timely Notice to Owners of Limited Liability Companies – Especially Those With Only One Member
Under the limited liability company statutes, multi-member limited liability companies provide limited liability for the members and managers of the company. However, single member limited liability companies do not automatically provide limited liability. Limited liability for single member limited liability companies is a facts and circumstances issue. Limited liability is more likely to be upheld if the LLC has proper structure of set-up and adequate evidence and records to verify that the company was properly operated under the limited liability company umbrella.
What is "Reasonable Compensation"?
Reasonable Compensation is a current high priority issue for the IRS concerning all corporations, especially S corporations
Wage Compensation for Corporation Officers
Corporate officers are specifically included within the definition of employee for FICA (Federal Insurance Contribution Tax Act), FUTA (Federal Unemployment Tax Act), and federal income tax withholding under the Internal Revenue Code. When corporate officers perform services for the corporation, and receive or are entitled to receive payments, their compensation is generally considered wages. Sub-chapter S corporations should treat payments for services to officers as wages, and not as distributions of cash and property or loans to shareholder or limited liability company members.
Tax Planning Workbook - 2021 and Beyond
This workbook is a hands on process. Our intent is to show you the process of producing a tax plan for your business.
Tax Planning is to make you aware of:
- Some of the many tactics allowed by tax law.
- Ways you can maneuver business activities to bring taxes down both business and personal.
- The process of developing a tax plan.
Getting started:
You will need your business’ financial statements year to date. These statements then need to be projected to the end of this calendar year.
Business Help Resources
- Can You Use Independent Contractors?
- Doing Business in the 21st Century Electronic World
- How to Get Up and Running
- Notice to LLC Owners
- Ten Essential Business Functional Areas
- The Money Pump
- Understanding Risk Management
- What You Need to Know Before Starting a Business
- What You Need to Know When Your Business Needs Workers