Finance

Have finance questions? Ask a financial expert online.

Ask an Expert,
Get an Answer ASAP!

I have a single owner LLC with self employment income opened…

Customer Question
hello..i have a single owner...
hello..i have a single owner LLC with self employment income opened in 2015 and which i am filing taxes every year.. Recently due to tax law changes i opened a S corp additionally and filing date is Jan 4th,2018. I have also filed IRS Form 2553 with IRS for the same.. Due to filing status as head of household in 2016 and 2017 (two dependent children) , my net tax rate is around 18% and 4.5% VA state tax. I also pay alimony and child support. My business expenses are around1, Should i need to start receiving income through S corp instead of LLC and file corp & W2 income in 2018.Would that make any big difference in my taxes for 2018.
Submitted: 2 months ago.Category: Finance
Show More
Show Less
Ask Your Own Finance Question
Answered in 5 minutes by:
3/19/2018
Financial Professional: bkb1956, Finance Enthusiast replied 2 months ago
bkb1956
bkb1956, Finance Enthusiast
Category: Finance
Satisfied Customers: 5,993
Experience: IRS Enrolled Agent, 20+ years of experience in tax preparation with associated finance experience.
Verified

Welcome to Just Answer. My name is ***** ***** I will be happy to assist you.

The tax law changes that went into effect as of January 1, 2018 would have benefited you as a sole proprietor. You did not have to elect S corporation status.

As an LLC, you used Schedule C of your 1040 to report your income and expenses.

An S corporation files its own tax return (Form 1120S), but it does not pay tax. A Schedule K-1 is generated from the S corporation, and that information is entered on your personal tax return.

Please let me know if I can assist you further.

Thank you and best regards,

Barb

Ask Your Own Finance Question
Was this answer helpful?
Ask bkb1956 Your Own Question
bkb1956
bkb1956
bkb1956, Finance Enthusiast
Category: Finance
Satisfied Customers: 5,993
5,993 Satisfied Customers
Experience: IRS Enrolled Agent, 20+ years of experience in tax preparation with associated finance experience.

bkb1956 is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

I really was impressed with the prompt response. Your expert was not only a tax expert, but a people expert!!! Her genuine and caring attitude came across in her response...

T.G.WMatteson, IL

I WON!!! I just wanted you to know that your original answer gave me the courage and confidence to go into yesterday's audit ready to fight.

BonnieChesnee, SC

Great service. Answered my complex tax question in detail and provided a lot of additional useful information for my specific situation.

JohnMinneapolis, MN

Excellent information, very quick reply. The experts really take the time to address your questions, it is well worth the fee, for the peace of mind they can provide you with.

OrvilleHesperia, California

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

This expert is wonderful. They truly know what they are talking about, and they actually care about you. They really helped put my nerves at ease. Thank you so much!!!!

AlexLos Angeles, CA

Thank you for all your help. It is nice to know that this service is here for people like myself, who need answers fast and are not sure who to consult.

GPHesperia, CA

< Previous | Next >

Meet the Experts:

Rakhi Vasavada

Rakhi Vasavada

Financial and Legal Consultant

2,608 satisfied customers

Graduated in law with Emphasis on Finance and have have been working in financial sector for over 12 Years

Megan C

Megan C

Certified Public Accountant (CPA)

2,218 satisfied customers

Licensed CPA, CFE, CMA, CGMA who teaches accounting courses at Master's Level

Manal Elkhoshkhany

Manal Elkhoshkhany

Tutor

1,920 satisfied customers

More than 5000 online tutoring sessions.

JKCPA

JKCPA

CPA

844 satisfied customers

Bachelors degree and CPA with Accounting experience.

Eric

Eric

Financial Manager

559 satisfied customers

Loan servicing, counseling and real estate expert. Foreclosure Expert and Financial Planner.

R. Klein, EA

R. Klein, EA

Accountant

480 satisfied customers

TurboTax Expert. QuickBooks Certified Pro Advisor

Dimitry K., Esq.

Dimitry K., Esq.

Attorney

332 satisfied customers

NASD Licensed Rep, 1997-2001, Business Attorney

< Previous | Next >

Related Finance Questions
I am not sure I have the right agency to question Dot
I am not sure I have the right agency to question Green Dot prepaid Turbo Visa card. I am unable to access my Tax refund, I am on a merry-go-round with out the "merry" … read more
bkb1956
bkb1956
Finance Enthusiast
5,993 satisfied customers
Well my husband and I just got smacked with a huge penalty
Hi, well my husband and I just got smacked with a huge penalty for the Obama care!!! I'm hearing many people saying the same thing. I don't think it's fair, we try to do the right thing, follow the ru… read more
Bryan M.
Bryan M.
Owner
Masters of Accountancy
120 satisfied customers
I'm picking up the deed to my house tomorrow. My father
I'm picking up the deed to my house tomorrow. My father passed away and it took some time to get everything in order. I need to give my sister 20k and I don't have that kind of money so I was reading … read more
Chad EA, CFP ®
Chad EA, CFP ®
IRS Enrolled Agent, CFP(R),
Master\u0027s Degree
2,199 satisfied customers
I have an accounting question, not tax related. My lawyer,
My lawyer, in calculating his fee for services, added his expenses to the settlement and then applied his percentage to calculate his fee. I pointed out that he is collecting his percentage on top of his expenses. I think his expenses should come ofrf the top and then his fee calculated. What do you think?? … read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
My wife is scheduled to start work next month at 40000. a
my wife is scheduled to start work next month at 40000. a year. her ssi check is 1175. a month. How will that affect her ssi check. her ss # is###-##-####… read more
bkb1956
bkb1956
Finance Enthusiast
5,993 satisfied customers
What is the max contribution to a sep ira? would we
what is the max contribution to a sep ira? would we considered a business expense or be deducted from personal tax… read more
NPVAdvisor
NPVAdvisor
CFP Licensee and Practitioner
Master's Degree
180 satisfied customers
I am an American shareholder in a private Canadian company.
I am an American shareholder in a private Canadian company. I am loaning capital to the company. If I took out a loan from my institutional bank to personally loan to the Canadian company, can I use t… read more
Carter McBride
Carter McBride
LLM
1,050 satisfied customers
First of all the company (partner owns not business partner)
First of all the company (partner owns not business partner) I work for considers me self-employed and my profession is Leasing Agent. I filed 2013 taxes, and I accidentally misunderstood the tax form… read more
PDtax
PDtax
Owner
Master\u0027s Degree
1 satisfied customers
I am looking to build a chart of accounts for a restaurant
I am looking to build a chart of accounts for a restaurant that strictly delivers what would be needed for tax purposes. What accounts would be necessary to properly break out the expenses and revenue… read more
Carter McBride
Carter McBride
LLM
1,050 satisfied customers
Not sure if there really is a black and answer to this. I am
Hi, Not sure if there really is a black and white answer to this. I am currently considering closing on a $260,000 new construction home in Boulder City, Nevada. This area has been kind of booming as … read more
bkb1956
bkb1956
Finance Enthusiast
5,993 satisfied customers
Chad! We spoke a few weeks ago but I have another finance
Hi, Chad!We spoke a few weeks ago but I have another finance question as it pertains to my divorce settlement. I'm trying to decide whether to keep a property or let him buy me out and just want to un… read more
Chad EA, CFP ®
Chad EA, CFP ®
IRS Enrolled Agent, CFP(R),
Master\u0027s Degree
2,199 satisfied customers
If parents buys (on paper) a house for a child - meaning the
If parents buys (on paper) a house for a child - meaning the parent is signing for the loan - and the house is owned by the parent - the child is not listed on loan or deed. The child pays the mortgag… read more
bkb1956
bkb1956
Finance Enthusiast
5,993 satisfied customers
I own a staffing agency and I want to ensure I'm paying my
I own a staffing agency and I want to ensure I'm paying my employees properly with the new salary minimums. I believe 50k is the new minimum salary. If I pay recruiters commissions on top of base, can… read more
Mark Anderson
Mark Anderson
Attorney
Doctoral Degree
10 satisfied customers
I have $250K tax free funds to invest. This sum is currently
I have $250K tax free funds to invest. This sum is currently at a Wells Fargo bank. Where is the best place to move it for a time as I determine where to spread it on investments? Should I move it to … read more
Chad EA, CFP ®
Chad EA, CFP ®
IRS Enrolled Agent, CFP(R),
Master\u0027s Degree
2,199 satisfied customers
If you do not intend to address all my concerns do not
Please if you do not intend to address all my concerns do not answer & refund me. I have asked for advice on this same topic three times and get no real answer. Here is the question once more... "Firs… read more
PDtax
PDtax
Owner
Master\u0027s Degree
1 satisfied customers
I was recently offered a job that is 10000 less a year than
I was recently offered a job that is 10000 less a year than what I make now. The new job would be exactly what I'm looking for in terms of moving up and experience however there's a big gap financiall… read more
bkb1956
bkb1956
Finance Enthusiast
5,993 satisfied customers
I am thinking about selling my car. It needs maintenance. Is
Hello!I am thinking about selling my car. It needs maintenance. Is it better to let it repair and then try selling it, or the other way round?… read more
Mark Anderson
Mark Anderson
Attorney
Doctoral Degree
10 satisfied customers
I just have a hypothetical question for you. Lets say if you
Yes, lets say if you have an income of about 96000 a year what can you qualify for … read more
Chad EA, CFP ®
Chad EA, CFP ®
IRS Enrolled Agent, CFP(R),
Master\u0027s Degree
2,199 satisfied customers
Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Disclaimer: Information in questions, answers, and other posts on this site ("Posts") comes from individual users, not JustAnswer; JustAnswer is not responsible for Posts. Posts are for general information, are not intended to substitute for informed professional advice (medical, legal, veterinary, financial, etc.), or to establish a professional-client relationship. The site and services are provided "as is" with no warranty or representations by JustAnswer regarding the qualifications of Experts. To see what credentials have been verified by a third-party service, please click on the "Verified" symbol in some Experts' profiles. JustAnswer is not intended or designed for EMERGENCY questions which should be directed immediately by telephone or in-person to qualified professionals.

Show MoreShow Less

Ask Your Question

x