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- Aug 22, 2003
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I am going to be working on a 1099 income and will decide on a business structure. Can anyone recommend a CPA/team/etc, and what has your experience been with it?
I am considering Halon Tax which is $1200/yr. They specialize in LLCs that are taxed as S corporations. They have a calculator and articles on their website on the financial benefits of the structure compared to others (and physicians are not going to improve liability based on structure, so financial/tax factors become more important). While it is much more complex than a sole proprietor (having to do payroll, filing fees, holding meetings, shareholders, etc), they would be handling all of those details and claim that the savings from the structure greatly exceeds the costs at a relatively modest amount of income (although it seems to be the most benefit from the structure is at low and high incomes [when below and greatly over the SS base rate, respectively, due to the SS tax and later the 0.9% tax], and also I wonder if it matters by state, because some states have extremely high fees for becoming an LLC and most states it is quite cheap). It includes all tax advice and planning, filing the business tax return, with some one-time fees for establishing the structure and various filings.
It seems like a reasonable price which they are able to do because they assign you to a CPA with several ppl working under her. They reportedly have a large number of physician clients. Also since it's a national outfit they should have some economy of scale and be good at what they are doing, vs. finding a local CPA. At the same time I have not heard much about them, except a few positive, vague reviews.
I am considering Halon Tax which is $1200/yr. They specialize in LLCs that are taxed as S corporations. They have a calculator and articles on their website on the financial benefits of the structure compared to others (and physicians are not going to improve liability based on structure, so financial/tax factors become more important). While it is much more complex than a sole proprietor (having to do payroll, filing fees, holding meetings, shareholders, etc), they would be handling all of those details and claim that the savings from the structure greatly exceeds the costs at a relatively modest amount of income (although it seems to be the most benefit from the structure is at low and high incomes [when below and greatly over the SS base rate, respectively, due to the SS tax and later the 0.9% tax], and also I wonder if it matters by state, because some states have extremely high fees for becoming an LLC and most states it is quite cheap). It includes all tax advice and planning, filing the business tax return, with some one-time fees for establishing the structure and various filings.
It seems like a reasonable price which they are able to do because they assign you to a CPA with several ppl working under her. They reportedly have a large number of physician clients. Also since it's a national outfit they should have some economy of scale and be good at what they are doing, vs. finding a local CPA. At the same time I have not heard much about them, except a few positive, vague reviews.