When you start a business, you are choosing a business entity, whether you know it or not. Chris Branstad tells how to get it right the first time at IowaBiz.com.
You should get your tax pro involved. If you aren't sure what to do, but need to do something, do something that you can easilty undo. That means a sole proprietorship if you are a sole owner (a single-member LLC will do) or a partnership (including an LLC) if you are a co-owner. Don't go with a corporation -- S corporation or C corporation -- unless you really are sure of what you are doing. Once you incorporate, you may find yourself with taxable income for the privilege of undoing it.
The items included in the Tax Update Blog are informational only and are not meant as tax advice. Consult with your tax advisor to determine how any item applies to your situation.
Joe Kristan writes the Tax Update items, and any opinions expressed or implied are not necessarily shared by anyone else at Roth & Company, P.C. Address questions or comments on Tax Updates to