If you own an S-corporation, the IRS requires you to pay yourself a reasonable salary for the work you perform — before you take any distributions from the business. This is not optional, and it is one of the most actively audited areas of S-Corp tax compliance. Getting it wrong does not just create a tax problem. It creates a payroll tax problem, an interest and penalty problem, and in some cases a reclassification problem where the IRS recharacterizes your distributions as wages and bills...

The IRS released its annual inflation adjustments for tax year 2026 in October 2025. These changes reflect amendments from the One Big Beautiful Bill Act (OBBBA), signed into law on July 4, 2025, which made most Tax Cuts and Jobs Act provisions permanent and introduced several new benefits for taxpayers. The same seven tax rates apply as in 2025 — 10%, 12%, 22%, 24%, 32%, 35%, and 37% but income thresholds have been adjusted upward by an average of 2.7% to prevent bracket creep. These figures...

Are You Leaving $10,000+ on the Table Every Year? If you're a construction company owner, medical practice physician, or law firm partner earning six figures, the answer is likely yes—and you might not even realize it. Many business owners overlook a crucial detail: the entity structure you choose is not just about legal protection or paperwork; it's about cold, hard cash . The difference between operating as an LLC versus an S-Corp can mean $8,000 to $25,000+ in annual tax savings. Over a...