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Revision as of 20:13, 2 September 2026


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Another angle to consider: suppose little business takes a loss of revenue transfer pricing for the year just passed. As a C Corp it takes no tax on the loss, however there can also no flow-through to the shareholders the problem an S Corp. The loss will not help your own tax return at everyone. A loss from an S Corp will reduce taxable income, provided there is other taxable income to decline. If not, then can be no tax due.

For my wife, she was paid $54,187, which she is not taxed on for Social Security or Healthcare. She's to put 14.82% towards her pension by law, making her federal taxable earnings $46,157.

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