1) Corporation is a separate entity, with its' own federal I.D. #.
Your legal liability is limited to the assets of the corporation.

2) Corporation income is considered investment income and
is not subject to the 15% self-employed tax.

1) C Corporation -
This corporation is taxed separately from its' shareholders at a rate of 15% to 34%.
Income is distributed to shareholders in the form of dividends.

2) S Corporation -
This corporation pays no tax.
The profit or loss of the corporation is passed through to the shareholders.
We highly recommend this type of corporation.
The requirements are as follows:

• No more than 35 shareholders
• Shareholders must be individuals (Not corporations)
• All shareholders must be U.S. citizens or resident aliens.

3) Non-Profit Corporation -
This corporation is for the purpose of conducting non-profit business.