S Corporation Formation | What is S Corporation Requirement?

An S corporation formation in New York is, in short, a business entity that was previously a limited liability corporation and has chosen to follow the taxation route of an S corporation.

In this, the members fill out an IRS form to get some special tax exemptions. In an S corporation in NYC, the business is treated as a separate entity and taxed separately. There are certain advantages for an LLC to be treated as an S Corporation and some disadvantages.

If you are unsure whether to form an LLC, go through the following positive and negative aspects of it. It helps you decide what to do during LLC registration.

For S Corporation formation, you need to fulfill some basic S corporation requirements:

1. It is essential to choose a corporate name.
2. You need to prepare articles of incorporation with the help of accountants NYC, provided by Tax King Service.
3. An agent present in the same state can be responsible for managing your documents and forms. Here, we at Tax King Service can only cater to the people of New York state.

Other important aspects of forming an S Corporation in NYC are creating a corporate records book, forming some rules and regulations to run the corporation, appointing directors and holding a board meeting, issuing the stock to shareholders, following your state’s annual reporting requirements, and following tax and regulatory requirements.