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I am considering opening an independent, one-owner insurance agency. Has anyone done this, and if so, what biz/tax structure did you use? S-corp? LLC? Which and why?

Sep 01,2017 at 04:11 am

This is one of the most FAQ on Quora. Please see below article from our blog.

Overall, it depends on your projected income or losses initial few years. I would highly recommend that before setting up your entity you understand how profits or losses are handled.

For one member busine...

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If our startup is incorporated in Delaware and our server (cloud hosting) is in California, does this create a tax nexus in California?

Aug 31,2017 at 05:04 pm

 

According to California revenue and tax code, you are considered doing business in California if you are actively engaged in transactions with a profit objective or financial gain.

While there are many conditions to qualify under this, I am highlighting few which may be more rele...

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I want to start a business in the USA, where do I start (Australian citizen)?

Aug 31,2017 at 03:22 am

Hi

Assuming you already have your business plan and other items to get started, the following are the basic steps:

  1. Incorporate your company. Decide if LLC or Corporation is right for you along with your tax classification with IRS.
  2. Hire a registered agent
  3. File...

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Should I setup my LLC to be taxed as a C-Corp? How can I avoid paying taxes pre-revenue since there is no revenue?

Aug 29,2017 at 04:41 am

 

This question does not provide sufficient information. The best way to handle this would be to discuss your projected financials with a CPA for the first 3–5 years.

A short answer to your question, converting from S to C Corporation is relatively easier, less time consuming and...

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I cancelled my California registered LLC within 12 months of opening, and I hadn't conducted any business. Why am I still asked to pay for the $800 annual fee?

Aug 29,2017 at 03:38 am

As long as your LLC was an active legal entity, you will be required to pay the $800 annual franchise fee for that financial year.

Once you close your LLC & federal tax filings, then you will no longer be sent notices.

Usually, most states will not issue clearance to close a com...

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