[Harp-L] Forming a Business Entity

["Walter Joyce" <wtjoyce45@xxxxxxxxxxx>]

Seek the advice of an attorney within your state. Laws about corporations 
and LLCs vary from state to state, as do annual minimum tax for each 
entities.

Additionally the tax consequences on a federal level will vary, and there is 
a danger that if you form an S corp for a band you will be reclassified as a 
personal service corp, meaning you'd pay taxes at the corporate level as 
well as a personal level.

There are also filing requirements and contributions to unemployment 
insurance that may arise on both the state and federal level to consider.

What I am trying to illustrate is that there are many issues to consider and 
have correct answers on BEFORE you choose what type of entity to use.

Seriously, don't rely on internet advice when making decisions that have 
legal and tax consequences, talk to a professional in your area. It's not as 
simple as picking and then filing with your state, despite what other people 
might tell you.

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