Piper
03-04-2012, 10:43 AM
My tax accountant filed paperwork at the beginning of March 2011 to allow me to file as a S-Corp for 2011 (in Colorado).
As a photographer, I made $20k in revenue and had $17k in expenses (advertising, processing, etc.). I don't want to have to fill out multiple forms and pay myself a salary; this seems like it would be a problem since I would have a major loss if I paid myself regular wages, and where would this come from?
I also want to keep my taxes as simple as possible. I may not have managed the S-Corp correctly in 2011 year since I did not file any forms throughout the year, but I wasn't making any money and didn't give it much thought. And I really don't have the funds to pay my tax accountant another $2k...
I am winding down the business in 2012 and now doing it only as a side business instead of full-time employment. I expect it to generate about $4k in 2012.
Can I simply file as an LLC instead of an S-Corp in 2011 and be taxed at the higher rate on the $3k of net earnings?
As a photographer, I made $20k in revenue and had $17k in expenses (advertising, processing, etc.). I don't want to have to fill out multiple forms and pay myself a salary; this seems like it would be a problem since I would have a major loss if I paid myself regular wages, and where would this come from?
I also want to keep my taxes as simple as possible. I may not have managed the S-Corp correctly in 2011 year since I did not file any forms throughout the year, but I wasn't making any money and didn't give it much thought. And I really don't have the funds to pay my tax accountant another $2k...
I am winding down the business in 2012 and now doing it only as a side business instead of full-time employment. I expect it to generate about $4k in 2012.
Can I simply file as an LLC instead of an S-Corp in 2011 and be taxed at the higher rate on the $3k of net earnings?