subject: How to File an S Corporation Election for a Maryland Corporation [print this page] How to File an S Corporation Election for a Maryland Corporation
A Maryland Corporation is a very powerful business form that provides one of the most important business functions which is limited the liability of its owners. In a typical corporation, the owners of the company are only liable up to their investment in the Corporation. Thus, if there is a lawsuit against a company then the shareholders or the owners will not be personally liable for the debts of the corporation. Although, this limited liability aspect of a Corporation is very important and attractive, however, from a tax perspective a corporation is subject to double taxation. Essentially, the shareholders are taxed at the shareholder level when they receive dividends and then again taxed at the individual income level as well. However, this can be solve by simply having a Maryland Attorney file your S Corporation Election.
Maryland Express Legal Online provides the best service online to quickly and correctly get your S Corporation status prepared by a Maryland Lawyer. By simply completing an online questionnaire a Maryland Attorney will prepare your S Corporation Election and file it with the appropriate government bodies and ensure that you are no longer subject to double taxation of a typical Maryland Corporation. An S Corporation election can also be used with a Maryland LLC as well. An LLC is a disregarded entity with the IRS. Essentially, the IRS does not recognize the LLC, but nearly all the states including the State of Maryland do recognize the LLC as a valid business form. Thus, the IRS requires that the LLC choose to either be taxed as a partnership or an S Corporation. Most tax professionals recommend taxing the LLC as an S Corporation and this can be done by simply utilizing the online legal services of Maryland Express Legal Online.
