News for hackers. Stuff that matters.

A comment on Ask HN: Expenses for C-corp startup?. Parent comment

Re:Ask HN: Expenses for C-corp startup? by t829 on Wednesday March 04, 2015 @06:00PM (#9148017)
Distributions are not long term capital gains. The only real tax advantage is no FICA. It could be a lot if you aren't paying yourself much in wages, but I would be wary of the IRS disagreeing with your "market value wage" in that situation.
[ Parent | on HN ]
Re:Ask HN: Expenses for C-corp startup? by abfan1127 on Wednesday March 04, 2015 @06:10PM (#9148070)
This is the advice I've received from 4 different CPAs. Maybe I've found 4 consistently bad CPAs...

Agree on the FICA.

For market value wages, I consult websites that report average salaries like glassdoor, again a recommendation from those CPAs.

[ Parent | on HN ]