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Com Provides a Wide Range of IRS Tax Publications and Tax Information

Com Provides a Wide Range of IRS Tax Publications and Tax Information

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all right so we know that the escort saves us on taxes and roughly how that works now this is how it works in terms of the flow on a tax turn you will need to fill out an 1120s which is something like this for the esor so there is a separate es Corp tax return that you will need to do so just like our example let's say easy numbers just for illustration purposes straightforward tax return 150,000 sales 40,000 is what you paid yourself on a W2 to the officer and then you had other expenses of 50,000 so you had profits of the business of 60,000 all right so the escort is what we consider as professionals a pass through entity the reason we say pass through is because the tax passes through to your personal return the es Corp itself at least with the feds pays no tax you pay the tax on your personal return now depending upon what state you live in you may pay some state tax on the escort but with the feds there is no tax with the escort

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