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Should I convert my LLC to an S-Corp (Sub-S Election)?

Article ID: 167
Last updated: 17 Oct, 2013
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By Jason Watson ()

This KB article has been superseded. Please see our updated articles.

Perhaps. Reducing your self-employment taxes is the main reason LLC owners want to convert to an S-Corp. There are some issues such as payroll, corporate tax return requirements and passive incomes. But if you have over $10,000 in net profits, you might want to give it some serious consideration. Please read our tax article on the Sub-S election and becoming an S-Corp at-


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item Is there a way to avoid Self-Employment tax?
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item How do I convert my LLC to an S-Corp?
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