---- How do you know when to Incorporate, and, is it necessary?
oldpro - 7:48 pm on Apr 6, 2006 (gmt 0)
Yeah, I forgot about the new lower tax on corp dividends. I believe that has a sunset provision.
I believe you are thinking of "C" Corps...which there is a sunset provision. "S" Corps have always considered dividends passive income (similar to rental income), which is exempt from social security and medicare taxes.