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We incorporated a few years back primarily to separate our personal from the business. The goal with any business in the beginning is to try and keep it in the red 'on the books' for as long as possible. But as a proprietorship this was hurting my personal tax return since I was considered one and the same as the company.
Once we incorporated, I became a 'paid employee' of my own company and now claim that. Plus we're able to write-off much more of the household as office and studio space. Hell, we even wrote off a $600 xmas tree a few years back since we used it as a prop in a photoshoot, heh.
Under the corporation, we can legally operate under more than a dozen different company entity names if we choose.
One setback to consider is a corporate tax return is generally much more expensive than filing a simple sole proprietorship return, though.
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