Advising Business Taxpayer: Entity Choice, Workers, ACA, Planning

Free IRS Enrolled Agent SEE Part 2 (Businesses) lesson in Business Tax Preparation. 37 min read, ~5,500 words.

Entity choice drives liability, self-employment tax, and audit risk: sole prop and partnership pay full 15.3% SE tax on profit; S corp owners owe payroll tax only on reasonable compensation; C corps pay flat 21% but face double taxation. Worker classification uses common-law control test (behavioral, financial, relationship); misclassification triggers...

Read the full lesson, free →
Worked examples, audio narration, and practice. No signup to read.

What this lesson covers

Learning objectives

Browse all free EA Part 2 lessons or jump into free EA Part 2 practice questions.