So if the company must remain a regular C corporation, compensation should reflect performance.
They would not be valid for a company operating as a C corporation.
C corporations are not allowed to deduct capital losses against ordinary income.
A C corporation must be set up in order to roll the 401k withdrawal.
The growth estimates do not include C corporations, for which comparable 1992 data are not available.
Setting up what is known as a C corporation would allow him to limit his salary, but profit would be subject to corporate income tax.
A corporation may qualify as a C corporation without regard to any limit on the number of shareholders, foreign or domestic.
Approximately 11,300 C corporations and 6,400 S corporations claimed the credit.
So for the 1990 fiscal year, he changed his S corporation status to C corporation.
Also, as a C corporation, any profits will be taxed at the corporate level, instead of flowing to the owners.