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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Client Testimonials

As a professional with a busy schedule and layers of accounting complexity, I need the peace of mind that comes with knowing my financials are being handled professionally, in compliance with all laws and regulations, and with an eye to detail.

Gary Bode has provided tax preparation and business accounting assistance to me for three years now, and I can honestly say that I rest well at night, knowing that someone is tending to the details that I don't have time to master.  He is professional, always willing to work through a complex situation, and he explores every angle.

I look forward to working with Gary for many years to come, and wholeheartedly recommend his services to anyone who is looking for the assistance of a capable accountant.

Father Peter Robichau

Free Consult

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 Corporation CPA discusses 2013 Medicare Tax Avoidance | Form 1120-S

S Corporation CPA Wilmington NC 1120-S

Gary Bode, CPA: an S Corporation can avoid the 2013 additional Medicare Tax. For a free phone consult, call (910) 399-2705.

Any S Corporation CPA will tell you distributions circumvent employment taxes all together. S Corporation distributions are the profit taken after paying the shareholders “reasonable compensation” (formal wages subject to employee and employer payroll taxes), as calculated on the annual 1120-S. I’ve been watching Congress try to close this loophole for decades. But at the moment it’s still there. Why? Surprise, many Congressional folks run their own businesses as S Corporations. Newt Gingrich and John Edwards, for example. So, S Corporations distributions aren’t covered under the “earnings” part of the new Medicare tax described below.

A 0.9% additional Medicare tax looms on the 2013 horizon. Currently Medicare tax is 2.9% on all wages, half from your employer, and half from your paycheck. In 2013, couples earning more than $250,000 per year ($200,000 for an individual) will pay an additional 0.9% on the amount of wages over $250K/$200K. For example a single person making $250K would incur an additional $450 {250,000-200,000) x .0.9%} tax that year.

“Remember your LLC can elect to be taxed as an S-Corporation.” 
– Gary Bode, S Corporation CPA

So, let’s say a husband and wife S Corporation pay themselves $150,000 and distribute $150,000 to themselves in a tax year. All the $150,000 of distributions escapes the Social Security and Medicare tax. An S Corporation CPA would try to structure one spouse’s salary above the annual Social Security threshold to save the (expected) 12.4% of Social Security Tax on that payroll component.

I’m an S Corporation CPA with a virtual/remote office to serve folks beyond my Wilmington NC site. I operate my CPA firm as an S Corporation, so you know I keep up with current developments. There are dozens of S Corporation postings on this website, including the “reasonable compensation” issue mentioned above. Just click “S Corporations” from the drop down category list in the right side bar or 1120-S from the Forms drop down box. For a free phone consult, call (910) 399-2705.

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