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Megan C
Megan C , Certified Public Accountant (CPA)
Category: Finance
Satisfied Customers: 16539
Experience:  Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level
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I have just accepted a job offer with a contracting firm to

Resolved Question:

I have just accepted a job offer with a contracting firm to perform IT Project management for one of their clients. They will not do 1099 personal but require I form an LLC or S-Corp. Being that this is in the middle of the year am I able to set myself up as an s-corp employees and pay myself wages (W2) and also be officer with dividend disbursement for the remaining of 2013? Much of what I read said you have to file status by Jan 31 to qualify for 2013 s-corp advantages.

If I start my S-Corp now am I able to take advantage of all the benefits for the remainder of the year?


BTW - I do plan on getting a CPA but they cannot see me for a week minimum and I have to provide an answer to the contracting firm Monday/Tuesday
Submitted: 3 years ago.
Category: Finance
Expert:  Megan C replied 3 years ago.

MyVirtualCPA :

Welcome to JustAnswer.com - how are you today? My name is XXXXX XXXXX MyVirtualCPA and I'm a licensed CPA ready to assist you

Customer:

great, thank you

MyVirtualCPA :

You're fine to incorporate in the middle of the year.

MyVirtualCPA :

You just have to notify the IRS of your intention to be taxed as an S-Corporation by filing IRS Form 2553 no later than the 15th day of the third month following your date of incorporation

MyVirtualCPA :

So it's not Jan 31 that you have to file this form

Customer:

ok. that is good to know. What is a good reference book to read to get familiar with what deductions and how to properly take them to minimize tax implications

MyVirtualCPA : a
MyVirtualCPA :

JK Lasser's Tax Deductions For Small Businesses

Customer:

can I lease a car and fully charge it off to my s corp form communitng to the client site?

MyVirtualCPA :

The car can only be used for business purposes - you can write off the lease charge and other expenses related to the car or you can deduct mileage but not both.

Customer:

Thank you! That should get us through until we can arrange for a CPA

MyVirtualCPA :

Okay I'm glad I could help. If you would, please rate my service as "excellent" so that I may receive credit for assisting you today

Megan C and 3 other Finance Specialists are ready to help you
Expert:  Megan C replied 3 years ago.
Thanks, Doug for your positive rating. Please come back and visit MyVirtualCPA for any of your tax finance, or social security needs. It was a pleasure working with you today.