We Prepare Tax Returns!

We prepare most type of tax returns:

Individual. 

S Corporation.

C Corporation.

Partnership.

Payroll.

Amended.

Gary Bode, CPA is a Master's Degreed, nation wide accountant offering tax and business services. Member of AICPA and NCACPA. Our virtual office provides excellent service to long distance and international clients. Call (910) 399-2705 for a free phone consult.

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Click here to watch some of our clients in their video testimonials!

Client Testimonials

We short sold our home in 2014 and were concerned with the repercussions from the cancelled debt. We did a lot of research on the internet and were able to find Gary.  He provided a free consultation and let us know that we should be do.  Due to his expertise, we went from thinking that we would owe a significant amount of money to actually receiving a nice refund.

We would recommend Gary to anyone who finds themselves in a similar situation.  He’s very knowledgeable on the process and explains everything with you once he’s completed your tax forms.

Adam and Robin McNany

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Even though Gary enjoys helping colleagues, we no longer provide free consults to other tax preparers. He's happy to consult on an hourly billing basis if our schedule allows.

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S Corp tax CPA answers What is an S Corp? | how to setup an S Corporation business | changes to Form 2553 instructions | Form 8332 for LLCs

corporation s corp

Form 2553 instructions change in 2013. Call (910) 399-2705 for a free CPA consult on any S Corp issue.

New clients sometimes ask about the advantages of running an S Corporation business. Hi, I’m Gary Bode, a CPA who runs our tax and accounting practice as an S Corporation. So I stay current on S Corporations issues. We’ve got a virtual office to offer service wherever you’ve setup your S Corp. I’ll cover Form 1120-S, Form 8332, Form 2553 and Schedule K-1.

What is an S Corporation?

Per the IRS:

S corporations are corporations that elect to pass corporate income, losses, deductions and credit through to their shareholders for federal tax purposes. Shareholders of S corporations report the flow-through of income and losses on their personal tax returns and are assessed tax at their individual income tax rates. This allows S corporations to avoid double taxation on the corporate income. S corporations are responsible for tax on certain built-in gains and passive income.

“S Corp shareholders don’t pay self-employment tax on S Corporations distributions. But this is a hot issue for the IRS.”
– Gary Bode, S Corp CPA

Steps in S Corp tax returns

  • The S Corp files Form 1120-S.
  • Then all that information from Form 1120-S distills down to Schedule K-1.
  • Shareholders use Schedule K-1 to prepare their IRS Form 1040.
  • Remember your State filing requirements too.

Can your LLC elect to be taxed as a subchapter S Corp?

Yes. For my clients that want to run an S Corporation business I suggest becoming a LLC and then electing to be taxed as an S Corp. Why? You can later elect to be taxed as a Partnership without closing the LLC. First file IRS Form 8332, Entity Classification Election. This turns your LLC into a C Corporation for tax purposes. And then file IRS Form 2553, Election by a Small Business Corporation.

How to set up an S Corporation

  • Setup a Corporation with your State’s Secretary of State.
  • Then file Form 2553, Election by a Small Business Corporation.

Form 2553 Instructions

Use Form 2553 to turn your Corporation into an S Corp. Getting the IRS to recognize the Form 2553 election is tedious. But not because the S Corporation business doesn’t qualify. There just seems to be a disconnect in the IRS systems. So, even when a timely Form 2553 is faxed to the IRS, CPAs often must re-file Form 2553. But then we’re seeking acceptance under one of the multiple Revenue Procedures available for late filing. However the new IRS Revenue Procedure 2013-30 simplifies late filing.

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