Business Formation
The most frequently asked tax questions related to Business Formation
Best way to file
Asked Wednesday, October 21, 2026 by RobertoIn order for me to not compromise any benefits such as SSDI, SSI, Medicaid, EBT, Section 8, etc, would it be best to file as a Nonprofit, LLC or Inc.?
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Self-built software contributed to my LLC at $0.00: correct?
Asked Wednesday, October 14, 2026 by GONZALOSole member of a Wyoming LLC (disregarded). I signed and notarized an assignment contributing software, brands and domains I built personally as a capital contribution; the operating agreement lists them at $0.00 (my basis, nothing capitalized). 1) Is $0.00 right for the capital account or should it be fair market value, and does it matter for tax? 2) On a later sale, is the LLC's basis my carryover basis? 3) Company costs I paid personally are booked as contributions, not loans. Cleaner?
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Starting side business as wedding musican
Asked Monday, August 31, 2026 by MarkI am looking to start a side business as a wedding musician, wondering if I need to register as an LLC or as sole proprietorship.
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under 35 k profit LLC online sales what is % of tax for sole properitor in Tx
Asked Saturday, August 01, 2026 by ahmadi need to know only income is, profit under 35k in a full yr. how much is tax , at least bear minimum i have to pay in Texas all types of taxes both i have to pay federal and state. i am newly forming a business and need to decide on strategy .
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Business expenses
Asked Friday, July 31, 2026 by AlanStarted a trucking business on June 1, 2026 worked for another company until July 15, 2026. Do I include my expenses in my software for the time that I worked for that other company because they paid me and I did not incur those expenses under my own company, I incurred those expenses under their company while I was working for them.
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Law corporation - S Corp v Partnership
Asked Thursday, May 28, 2026 by ElizabethHi, I am considering opening up a law practice with another attorney in California. We will be partners owning the practice and are debating which is a better option, a S-Corp or partnership. What are the tax advantages of either? Is one better over the other? Also, my law partner is a partner in another practice. Does that impact my practice that we open together at all? How? Thanks.
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IRS
Asked Monday, May 25, 2026 by ASADHow much it would cost me for form 5472 and forma pro 1120, And also need guidance regarding bookkeeping, do you offer such type of service/software or not
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Retention FIRPTA Non US
Asked Friday, May 01, 2026 by joaoHello, how are you? I hope you're well. I'm opening a single-member LLC in Florida. I live in Brazil and I'm Brazilian. Because I'm the sole owner of the LLC and I'm a foreigner, am I required to withhold 15% FIRPTA on land purchase and sale transactions? If so, how can I avoid this withholding?
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Business Manager
Asked Wednesday, September 24, 2025 by JDWould it make more sense (and be easier) to convert from an S Corp to an LLC or dissolve the business and start new as an LLC. The business has not made much profit in the past few years.
CPA Answer:
If your S Corporation hasn’t been profitable in recent years, simplifying your structure may make sense. Whether to convert or dissolve depends on your goals and state rules.
If the entity is clean and you want continuity (same EIN, bank accounts, and contracts), a legal conversion from S Corp to LLC is typically the smoother route. However, if the business has old liabilities, inactive operations, or you want a fresh start, dissolving the S Corp and forming a new LLC can be more practical.
Either option should be reviewed with your CPA and legal advisor to ensure compliance with both state filing requirements and IRS entity classification rules.
Nyquaise Moteng