FAQ: If I Will Do Business In California, Can I Incorporate My Business In Another State First?
Do you ask yourself “Should I incorporate my business in a state with no taxes first?” You are not alone. The truth is, if your office is located in California and you will do business in California, then you should incorporate in California. If you don’t you will have to apply to do business here. You will still have to pay the minimum $800 tax per year.
FAQ: Why Should I Incorporate My Business?
There are many times we have heard the question, “Why should I incorporate my business?” The most common reason people incorporate is for asset protection. If a corporation is sued, all it can lose is what it owns. This is because a corporation is a legal “person” (entity) that is separate from it’s owners. Owners are called stockholders or officers. Corporations file their own tax returns and pay their own taxes. The stockholders can now be employees. This lets you get a W-2 just like you would at any job.
Save Money on Taxes
Increase Profits
Medical Reimbursement
Protect Assets
Less Chance of Audit
Enjoy Peace of Mind
One Size Does NOT Fit All…
Get help when you make this choice. Talk to your CPA and get their advice. If you will have partners we also suggest you speak with an attorney. Setting up a business properly takes time. Get it done right the first time and save yourself some headaches later on. When you are ready to file, give us a call!
Contact Us if you have questions. We are here to help.
