Gusto's AI S-Corp Election Advisor and Tax Credit Finders: What Solopreneurs Should Know
Gusto's AI advisor estimates S-corp savings from your payroll data and flags credits like the $5,000 401(k) startup credit — confirm the salary with a CPA.
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S Corp
S Corporation tax strategies, payroll, and accounting requirements
Form 1128, Explained: How to Change Your Business's Tax Year — Automatic vs. Ruling-Request Approval, the Business-Purpose Test, Short Tax Years, and the Filing Deadline for Asking
Form 1128 asks the IRS to approve your tax-year change: automatic approval is free and fast, while a ruling request costs a fee and takes months.
The S Corporation One-Class-of-Stock Rule: The Silent Election-Killer Hiding in Your Shareholder Agreement
Every S-corp share must carry identical distribution and liquidation rights — uneven payouts won't kill the election, but unequal rights in agreements will.
The Augusta Rule: How to Price and Document 14 Tax-Free Home Rental Days
Section 280A(g) excludes rent for 14 or fewer home-rental days — but the business deduction needs fair market rent, a business purpose, and a paper trail.
Owner's Draw vs. Salary vs. Distribution: How to Pay Yourself Without Triggering an IRS Reasonable Compensation Audit
Working S corporation owners must take reasonable W-2 wages before distributions — the IRS tests the salary against nine factors, not the 60/40 myth.
From First Brand Deal to S-Corp: A Content Creator's Tax Playbook for 2026
Creators owe 15.3% self-employment tax from $400 in net profit, plus quarterly estimates — and an S-corp election saves five figures past ~$60K profit.
Business Tax Software Compared: How TurboTax Business, H&R Block, and TaxAct Handle 1065, 1120-S, and 1120 Returns for Small Entities
TurboTax Business guides first-timers, H&R Block bundles the 1040, TaxAct undercuts both — pick US entity software by forms, e-files, and support.
Who Paid the Premium Decides Who Pays the Tax: Disability Insurance Taxation for Employers and Employees
IRS rule: pre-tax disability premiums mean taxable benefits; after-tax premiums mean tax-free ones. Gross-up premiums into W-2 wages to protect employees.
One Lopsided Distribution Can Endanger Your S Election: The Single-Class-of-Stock Rule
An S-Corp loses its election if any share gets different distribution rights. Five IRS traps, plus the straight-debt safe harbor for shareholder loans.
Loan-Out Corporations for Actors and Performers: How Getting Paid Through Your Own Company Works
A loan-out corporation restores the business-expense deductions the IRS permanently denies W-2 performers — at $3,000 to $6,000 a year to run.
Mississippi's Franchise Tax Is Almost Gone: What the 2026 Rate Cut Means for Your Corporation
Mississippi's franchise tax falls to $0.50 per $1,000 of capital over $100,000 for 2026, then repeals in 2028 — S corps still owe it at the entity level.
Self-Employment Tax Pricing: How to Build the 15.3% Into Your Rates
US self-employment tax is 15.3% on 92.35% of net profit — about 14.1% effective. Price it in with a five-step rate formula, not salary divided by 2,080.