C-Corporation

How Fresh Legal Perspective Can Help You

When building a new business, it is vital to lay a solid foundation. At Fresh Legal Perspective, we can provide the legal counsel that you need to decide the best way to set up your C-Corporation that will benefit you now and in your future success. With both business and tax law backgrounds, we will provide advice from both of these important perspectives.

We will guide you through the process of registering with IRS, creating Articles of Incorporation, and creating Bylaws. We will help you consider the different tax status options and the various decisions involved in your company’s management structure. We will also work together to determine which other agreements and contracts may be needed to protect your personal and business legal interests, and we will provide you the information needed to legally and properly operate your business in the state of Florida.

Call or e-mail us today to schedule an appointment and take the first step to laying a solid foundation for your business and your future.

Tax Status

C-Corporations have complex tax implications to consider when structuring the business, and proper tax planning with a business and tax attorney can help relieve the tax burden.

C-Corporations are subject to taxation on both the State and Federal levels.

C-Corporations file a federal tax return on Form-1120 and pay tax at the corporate level. When the C-Corporation declares dividends, the shareholders pay taxes a second time on the dividends. This can lead to an effective tax rate in excess of forty percent (40%).

The state of Florida taxes C-Corporations on income earned within the state. The tax is typically five and one-half percent (5.5%), but with proper tax planning C-Corporations can minimize or eliminate the tax burden.

Articles of Incorporation

The Articles of Incorporation are filed with the Florida Division of Corporations to create the corporation. The Articles of Incorporation must contain the corporation’s name, business purpose, address, registered agent, incorporator, and the number of shares of stock.

Corporate Bylaws

The Bylaws of the C-Corporation do not need to be filed with the Florida Division of Corporations. The Bylaws govern the internal operations of the C-Corporation. Properly drafted Bylaws both empower and protect the C-Corporations, its officers, and its Board of Directors. Some common provisions include: the process for electing the Board of Directors, the powers of the Board of Directors, the named officers of the C-Corporation, the powers of the named officers, the notice rules, the quorum rules, and the time and place of the shareholder meetings.

This portion of the site is for informational purposes only. The content is not legal advice.