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Recap of S Corp Downsides

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s corp downsidesBy Jason Watson, CPA
Posted Sunday, October 29, 2023

There are several issues where an S Corporation election does not make sense. Be wary of all the accountants and other business owners who automatically check the Yes box when asked about making the election. Attorneys screw this up was too often as well. As you can see in this chapter, it is not for everyone or every situation.

As always, WCG CPAs & Advisors charges $250 for 40 minutes of consultation where A Tax Manager or Partner will ask questions to ensure the fit is correct and that it makes sense. If you decide to engage us for future services, we credit back the $250. So… not no risk, but certainly low risk in terms of how you spend your money.

Three options exist from the consult-

  • A solid Yes, or
  • A solid No, or
  • Another appointment to dig deeper into the facts and your objectives to ensure the fit is right.

Business Advisory Service plans is our core competency. We suggest taking advantage of it (Yes, more shameless self-promotion but in our heart of hearts we just want to help you avoid a mistake or a series of mistakes). We see too many costly decisions, and even worse, decisions that cannot be retroactively fixed. Buy yourself some information… buy yourself some peace of mind; if not with us, then with another competent small business consultant.

Jason Watson, CPA, is a Senior Partner of WCG CPAs & Advisors, a boutique yet progressive tax, accounting
and business consultation firm located in Colorado serving small business owners and taxpayers worldwide.


     

Taxpayer’s Comprehensive Guide to LLCs and S Corps 2023-2024 Edition

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