Running a business is a great option for many individuals, but it is important to understand the different kinds of decisions you will have to make while establishing one. Did you know, for example, that you can’t just set up shop and run a business without filing any paperwork or anything similar? In order to remain in accordance with regulations put in place by the government and the IRS, business owners must determine what kind of business entity they wish to run as well as ensure that they fill out an EIN application to list when doing their taxes or filling out business paperwork.
What are the differences?
While there are a variety of entities that you could potentially use for your business, there are two in particular that seem to be rather routinely confused. These are the S corporation and the C corporation. While they do have a number of similarities, they also have a number differences that should be noted. C corporations, for example, are subject to double taxation because im they are taxed at the corporate level. With that said, S corporations are subject to a few ownership regulations that C corporations do not have to face. Finding the option that works for you largely depends upon your specific needs as well as your anticipated future needs.
What is an EIN?
In addition to choosing the kind of entity that you would like to run, you must also ensure that you complete an EIN application and are assigned the actual number for use on important documents like your tax return. Luckily, this is a process that can be quite simple in nature! You can even get EIN online, in as few as one or two business days.
For a first class service that offers truly outstanding customer support, consider contacting Gov Doc Filing when you need to fill out an EIN application. They can help you obtain your EIN as quickly as possible.