3 ms·
S-Corp does not pay taxes, all income (minus losses) accrues as income to the shareholder(s) who then in turn pay taxes at their own rates.
by DenisM 10y ago
S-Corp does not pay taxes, all income (minus losses) accrues as income to the shareholder(s) who then in turn pay taxes at their own rates.
- 542458 10y agoAs I understand it, Trump's tax plan changes this so that S-corp income is only taxed at the 15% rate: > Right now, freelancers, sole proprietors, unincorporated small businesses and pass-through entities are taxed at the high personal income tax rates. [...] The Trump plan addresses this challenge head on with a new business income tax rate within the personal income tax code that matches the 15% corporate tax rate