Have a new LLC with election of an S have filed 2553/ Do i need to also file a corporate return along with personal return. I materially on work 5 hours a month on the business would I be exempt for SS tax ,
You'll need to sign in or create an account to connect with an expert.
@TxHarley wrote:
Do i need to also file a corporate return........
Yes. You need to file Form 1120-S and issue a K-1 to the shareholder(s).
@TxHarley wrote:
.......would I be exempt for SS tax ,
You need to pay yourself a reasonable salary from which social security tax (FICA) would be deducted on the W-2 issued by the corporation.
Please consider seeking guidance from a local tax professional.
Every person who participates in the S-corp, even the owner, must pay themself a fair salary for the amount of work performed. That salary is reported on a W-2 and is subject to social security, medicare, and income tax withholding, along with all other employee requirements in federal and state law (unemployment insurance, workers comp, etc.). If you aren't sure what your profit will be, you could pay the salary in a lumps sum on December 31, if you want, rather than weekly or monthly, but you must take a fair salary. Only after taking a fair salary, can you distribute any other profits. You should really see a tax professional.
The S-Corp return requires you to choose among buying Turbotax business to do the return yourself - full PC or MAC require windows 10, Turbotax LIve https://turbotax.intuit.com/small-business-taxes/#explorenow , or use a pro
Still have questions?
Make a postAsk questions and learn more about your taxes and finances.
DoDesign
Level 2
TxHarley
New Member
Mthatcher
New Member
jmzchz5560
Returning Member
andrew5912
Returning Member
Did the information on this page answer your question?
You have clicked a link to a site outside of the TurboTax Community. By clicking "Continue", you will leave the Community and be taken to that site instead.