Hello EMS0,
If you're currently classified as SMLLC, you will need to file a Form 2553, Election by a Small Business Corporation, to file for S Election in order to change the classification of your entity.
Tax strategy: Let's say your profit is 80K, assume that a person in your field gets a reasonable compensation of 50K, so the other 30K can be taken out as a distribution and not have to pay self-employment tax on it. So the 30K distribution would only be subject to regular tax and not the Self-employment tax.
Thanks for participating in TurboTax's Ask the Expert event today. I hope this information was helpful!
Have an amazing day.
AR (CPA 10+ years)
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