Hi,
I am planning to set up a S Corp firm for IT services (I am software consultant) and being the only employee of the firm. The firm will pay me salary.
After setting firm up, I am also planning to buy a life insurance through the firm so premiums are paid by the firm. The firm would be the policy owner, I would be the insured and the beneficiery would be my wife.
Please advice me the benefits and taxes.
Will the premium tax deductible from firms accounts?
Would I need to include the premiums in my taxable income?
If anytime I need to take a permanent employee position after terminating job the from the job , can the insurance be transferred to me?
Thanks in advance for clearing up my doubts and guiding me.
Thanks,
A.Kumar
