Tax Boss Suite · Business Formation
You have the vision. Give it a business structure. Explore your LLC and S-Corp options, understand the difference, and choose the formation route that fits your next chapter.
Questions before you begin? 866-864-1089
LLC · Corporation with S-Corp Election · LLC with S-Corp Election
Know what you are building
An LLC is a business entity created under state law. Its owners are called members, and it can have one owner or multiple owners. State requirements govern how it is formed and maintained.
Its federal income tax treatment depends on ownership and elections. A single-owner LLC is generally treated as part of its owner's income tax return; a multi-owner LLC generally receives partnership treatment unless it elects otherwise.
Choose your formation route
Choose the option you want to explore. Your purchase form provides the current pricing and the services available for your selection.
01 · The LLC route
Establish a limited liability company as the legal structure for your business.
02 · The corporation route
Explore a corporation as your legal entity with S-Corp tax treatment for an eligible business.
03 · The LLC + election route
Explore an LLC legal structure with S-Corp federal tax treatment for an eligible business.
Review the services, election filing scope, state fees, and total price in your selected purchase form before paying. Purchasing a package does not itself establish IRS S-Corp status.
Compare the foundation
The two S-Corp routes use different legal entities. The federal election carries the same core eligibility and compliance requirements.
| What you are choosing | LLC | Corporation + S-Corp | LLC + S-Corp |
|---|---|---|---|
| State legal entity | LLC | Corporation | LLC |
| Owners | Members | Shareholders | Members who must satisfy S-Corp ownership rules |
| Federal income tax treatment | Generally owner-level or partnership treatment by default | S-Corp treatment with a valid election | S-Corp treatment with a valid election |
| S-Corp election | Not part of default LLC treatment | Generally Form 2553 | Generally Form 2553 for an eligible LLC |
| Ongoing responsibilities | State maintenance, records, and applicable tax filings | Corporate formalities, state maintenance, S-Corp tax filings, and applicable payroll | LLC maintenance, records, S-Corp tax filings, and applicable payroll |
An entity structure can help separate business and personal liability, but protection has limits. Personal guarantees, your own conduct, and state law can affect the outcome.
Before you choose S-Corp treatment
S-Corp rules include a limit of 100 shareholders, restrictions on eligible owners, and one class of stock. Ownership and election timing matter.
An owner who works in the business must receive reasonable compensation for services before taking non-wage distributions. Payroll and recordkeeping are part of the plan.
Potential tax benefits depend on your circumstances. Compare the added accounting, payroll, and filing costs with your tax advisor before choosing an election.
Your next steps
Review the options and choose the purchase form for your intended business structure. Contact the Suite if you need help understanding the routes.
Provide the requested business and ownership details. Review your selection, available services, fees, and payment terms before submitting.
Follow the instructions provided for your order and respond to any requests for additional information. Filing timelines depend on the selected services and processing requirements.
Before you begin
An LLC is a legal entity formed under state law. S-Corp is a federal tax election available to eligible entities. An LLC can qualify for that election without becoming a corporation under state law.
Both use S-Corp federal tax treatment. The difference is the underlying state entity: one is a corporation and the other is an LLC. Their ownership documents and state requirements differ.
No. The result depends on income, reasonable compensation, state taxes, and the cost of payroll and tax compliance. Review the numbers with your tax advisor.
An eligible existing LLC can generally elect S-Corp tax treatment. If you already have an entity, contact us before purchasing so you can confirm which services fit your situation.
Open the purchase form for your chosen route to review the current pricing and services. If the filing scope or fees are unclear, email [email protected] or call 866-864-1089 before paying.
Your next chapter starts here
Choose your formation route or reach out with questions before you begin.