The Advantages of an S Corp Election

Electing s corporation status means you'll need an accounting system, something like books and a formal pay roll. House flippers or vacation renters are examples of active real estate businesses. The i r s requires companies with w two employees to pay an extra pay roll tax called the federal unemployment tax,. A futa equates to six % on the first seven thousand dollars in wages that you paid to an employee during the calendar year. It may be time to start using a real tax accountant.