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Renee wrote on : Wed Feb 03rd,2010 Back to Article

I am a chiropractor, been in practice for 10 years as a sole proprietor, have been told i should incorporate. Which one is best for me LLC or S corp, and what are the differences tax wise. Thank you

Reply : infotaxsquare.com

Dear Renee:

Thanks for choosing InfoTaxSquare.com for your business needs. If you form an LLC you can not avoid paying self-emploment taxes on your entire income. While you form an s-corporation you just have to pull out reasonable salary and on rest of the income you will pay just federal, state and local taxes. If you want to read more in detail please read the following link.

Comparison Link:
Link to apply for an S-corporation:
https://www.infotaxsquare.com/processor/order-init.php?o=co

Link to apply for an LLC:
https://www.infotaxsquare.com/processor/order-init.php?o=co

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