Create your new company in the state of Florida for only $500.* A TaxLeaf Professional will help you choose the best type of company for you. Could come handy if you want some tax benefits and liability protection.
* government and state fees charged separately
Florida is a great place for new companies. Many people choose Florida for it’s State Tax Policy which is No State Income Tax. That’s right, people in Florida don’t pay a state level tax. This comes in handy if your new company files as a pass-through type of company. Just ask us how. Step into your nearest location today!
Pass-through taxation. LLCs typically enjoy pass-through taxation where the members (owners) report their share of the LLC’s profit or loss on their individual tax returns. Any tax due is then paid at the individual level. In most cases, the individual tax bracket is lower than the corporate tax bracket.
Multi-member LLCs file an informational (partnership) tax return for the LLC, while single-member LLCs report all income or loss on Schedule C. Pass-through taxation sidesteps the double taxation incurred by C corporations when income is taxed at the corporate level and again at the individual level if corporate profits are distributed as dividends to owners (shareholders).
Flexibility LLCs generally have no restrictions on the number of members allowed, and members have flexibility in structuring management of the company. Florida LLCs can also select varying types of distribution of profits. Unlike a common partnership where the split is 50-50, an LLC has room for much more flexibility.
Fewer formalities. The LLC business entity requires no corporate minutes or resolutions, making it easier to manage. Holding annual meetings of members and documenting major business decisions is still recommended, however.
Subsidiaries. Unlike Florida S corporations, Florida LLCs are allowed to have subsidiaries without restriction.