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How is an S-Corporation taxed?


S-Corporation Election Filing Service


The typical for-profit Corporation (also known as a C-Corp) pays federal corporate income tax, and then its owners (shareholders) also pay federal income taxes on the income they receive from the Corporation. This is known as double taxation.

S-Corporations enjoy the benefits of Corporations, but without the double taxation. S-Corporations receive pass-through taxation from the IRS, meaning that they pay no federal income taxes. Instead, all business income is recognized as the personal income of the owners.

For comparison, LLCs, General Partnerships, and Sole Proprietorships also receive federal pass-through taxation.



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What if I get a notice of non-acceptance from the IRS? Within 60 days of submission of an S-Corporation election filing to the IRS, the IRS should mail you a notice of the acceptance or non-acceptance. If they indicate non-acceptance, they will usually ...
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Does a filing expire? Once an S-Corporation election is accepted by the IRS, it stays in effect until it is terminated or revoked...
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What happens after my order is complete? SimpleFilings is a secure solution for several of the most common new business filings, like LLC Formation or Incorporation, DBA Registration, and obtaining your Federal Tax ID. But there can be ...
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How long does the S-Corporation election filing take? After providing all required signatures, which you can do easily online, we will submit your election to the IRS often within one same business day, and send you an e-mail confirming that we have done...
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