cryptohunter
Active member
- PPF Points
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C Corporations get taxed at both federal and state levels. They might face double taxation, where profits get taxed at the corporate level and dividends at the individual level.
S Corporations, on the flip side, choose to pass on income, losses, deductions, and credits to their shareholders for federal taxes. So they skip the corporatelevel tax, and the money only gets taxed at the individual shareholder level.
Ownership is different too. C Corps can have lots of shareholders with different types of stock, which works well for big or publicly traded companies. But S Corps have some restrictions, like a max of 100 shareholders and only one type of stock.
S Corporations, on the flip side, choose to pass on income, losses, deductions, and credits to their shareholders for federal taxes. So they skip the corporatelevel tax, and the money only gets taxed at the individual shareholder level.
Ownership is different too. C Corps can have lots of shareholders with different types of stock, which works well for big or publicly traded companies. But S Corps have some restrictions, like a max of 100 shareholders and only one type of stock.
