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Hi and welcome to JA,
Here is a comparison between a C and and an S corporation that wil help you:
Choice of S or C Corporation They are really not that different. It depends on your situation:
1. C corp : limited liability protection; ease of raising capital; ease of adding owners and shareholders;taxed as an entity (as opposed to S); C will involve double tax (not so with an S). A coorporation may qualify as a C corpoaration without regard to any limit on the number of shareholders, foreign or domestic. It will last forever.
2. S corp: this is a flow through entity. It is not itself subject to income tax, rather the shareholders are subject to tax on their pro rata share of income based on their shareholdings. The corporation shares must be held by a resident or citizen individuals or certain qualifying trusts.
3. These corporations have their own corporate ID numbers EINs.
Each is called a shareholder
You get a corporate EIN since the C Corp is taxed as an entity. Therefore, you don't have to file Social Security numbers to form the C Corp. But remember, you will have a personal return with your own Social Security number and one of the aspects of your return will be the profit or loss from the C Corp. shares which must be reflected on that personal return.
EIN is like a corporate social security number.
As I said, each's profit or loss from the Corporation would appear in his personal 1040 just like any other income, loss, expense, etc.
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