Great video, Mark! He is speaking about US residents. Taxing an LLC as an S corporation is one of the best options when your profits are $40K to $50K or more. Non-residents don't have this option, and the rules are more complex.
Mark has a great strategy for that. If LLC is tax as an S-crop, then each owner could have their personal LLC S-corp, so they can manage their deductions on their share of distributions. Or are you asking something else?
Trying to wrap my head around paying my kids and family members via a 1099 and how that would help reduce my taxable income. Mark, do you have a video specifically on this topic?
It's simple, it's just like paying anyone else which is a tax deduction however, the tax advantages to your kids under 18 are more favorable than a contractor.
@@MarkPiresTaxCoach Sure. I get that. I guess I am just looking for the "why" it is more beneficial via my kids rather than a normal contractor. Is it partly due to my kids income not fully counting towards my own when I claim them? I think that is right anyway. :)
@JeffGammon The biggest advantage is if they're under 18 they don't pay FICA which is a 15% tax savings vs. what an adult or none child would have to pay on top of Federal and State taxes.
@@MarkPiresTaxCoach does the dependent child, who for example receives a 1099 for $2k or perhaps other income from like mowing a lawn, have to file a separate tax return, even when I am claiming them on my own? Or can I just not mess with putting that info on my return since it is under $14k.
Hey Mark. Has IRC Sec 274(m)(3) been repealed? You seem to ignore this code section, related regs and court cases when you suggest the family board meeting strategy
I think your friend Karlton D suggests an "off year" C corp strategy. I have criticized him but he now blocks me. You seem to agree that this "off yr C corp strategy" is unwise but you promote Karlton. Lastly, he seems to ignore rhe PSC rules. Thoughts?
I always feel a little bit lost when folks talk about taxes and write-offs, but Mark makes everything make so much sense.
Totally
Great video, Mark! He is speaking about US residents. Taxing an LLC as an S corporation is one of the best options when your profits are $40K to $50K or more. Non-residents don't have this option, and the rules are more complex.
Another awesome video!! Thank you 🙏🏻😊 I just started my LLC and I'm looking forward to learning more!!
great video
How does taking distributions get arranged with a multi member llc?
Mark has a great strategy for that. If LLC is tax as an S-crop, then each owner could have their personal LLC S-corp, so they can manage their deductions on their share of distributions. Or are you asking something else?
Sometimes silence speaks volumes
Trying to wrap my head around paying my kids and family members via a 1099 and how that would help reduce my taxable income. Mark, do you have a video specifically on this topic?
It's simple, it's just like paying anyone else which is a tax deduction however, the tax advantages to your kids under 18 are more favorable than a contractor.
@@MarkPiresTaxCoach Sure. I get that. I guess I am just looking for the "why" it is more beneficial via my kids rather than a normal contractor. Is it partly due to my kids income not fully counting towards my own when I claim them? I think that is right anyway. :)
@JeffGammon The biggest advantage is if they're under 18 they don't pay FICA which is a 15% tax savings vs. what an adult or none child would have to pay on top of Federal and State taxes.
@JeffGammon Also, the child first $14,600 is tax free to them and, tax free to you because you can deduct it from your income
@@MarkPiresTaxCoach does the dependent child, who for example receives a 1099 for $2k or perhaps other income from like mowing a lawn, have to file a separate tax return, even when I am claiming them on my own? Or can I just not mess with putting that info on my return since it is under $14k.
Hey Mark. Has IRC Sec 274(m)(3) been repealed? You seem to ignore this code section, related regs and court cases when you suggest the family board meeting strategy
I think your friend Karlton D suggests an "off year" C corp strategy. I have criticized him but he now blocks me. You seem to agree that this "off yr C corp strategy" is unwise but you promote Karlton. Lastly, he seems to ignore rhe PSC rules. Thoughts?
If your car weighs 6K lbs you can write it off.
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