C corporation. Choice of Business Entity; Formation of a LLC, Corporation, S Corporation and General Partnership

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		Ronald J. Cappuccio, J.D., LL.M.(Tax) *Counsellor at Law*	1800 Chapel Avenue West Suite 128 Cherry Hill, New Jersey 08002 USA (856) 665-2121 Fax (856) 665-9005 E-mail: Ron@TaxEsq.com

The best form of business entity for your business is a "C" Corporation. This is a regular business corporation, taxesd as a separate business entity at the Federal and State levels. The corporation will file an 1120 U.S. Corporate Business Tax Return, and pay tax on its net income. Net Operating Losses may be carried forward and shareholders do not pay tax on "phantom income." When the corporation distributes dividends to the shareholders, the shareholders are subject to income tax on their individual 1040 U.S. Income Tax Return.

Click here for an explanation of C Corprations

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