Decoding Pass-Through Corporations A Company-by-Company Analysis

The other form of pass-through entity is an S-Corp. This company form is initially organized as an LLC and then filed with the IRS to be ... If the shareholder(s) of an S corporation made an S election for federal purposes, New York State does not automatically treat the company as a ... Partnerships and S corporations benefit from pass-through taxation but differ significantly in stock, personal liability, ... Instead, the company's individual shareholders split up the income (or losses) amongst each other and report it on their own personal tax ... Maintaining passthrough treatment and single-level taxation can be challenging for an acquirer that is not an eligible shareholder of S ... Corporations, and limited liability companies that elect to be taxed as a corporation, are not pass-through entities. Many entrepreneurs choose ... An S corporation's tax items generally pass through to shareholders on a pro rata basis and are reportable by S corporation shareholders in the ... An S corp is any business that chooses to pass corporate income, losses, deductions, and credits through shareholders for federal tax purposes. While pass-through taxation is a pro, it can also be a con as shareholders need to report their share of their company's business income on their individual tax ... Pass-through businesses include sole proprietorships, partnerships, and S-corporations. Because these businesses' decisions are affected by ...