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Marvin,EA, Enrolled Agent
Category: Tax
Satisfied Customers: 1672
Experience:  Enrolled to Represent Taxpayers Before The IRS
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Hi, I am about to get a large commission check, $525K. How

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I am about to get a large commission check, $525K. How can I minimize the tax loss?
If I form a corporation and have the money paid to it, woudl I pay less?
Hello and thanks you for using Just Answer. If you received your commission as a W-2 employee you cannot form a corporation only for your corporation to receive the commission. Even if you could form a corporation you would not want the corporation to received the commission due to corporation double taxation. The commission would be taxed at the corporate level in the amount of 35% and dividend distributed to you would be taxed at 15%.
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