The difference between C & S Corporations for dividend payments and sales
The difference between C & S Corporations for dividend payments and gross proceeds payments as far as I can make it out to be:
For dividend payments it does not matter if it is a “C” Corporation or a “S” Corporation as they are treated the same for withholding and reporting – they are exempted from withholding and reporting.
For gross proceeds (sales) the “C” Corporation is exempted from withholding and reporting, however, the “S” corporations is subject to withholding (28%) and reporting on sales beginning in 2012.
Categories: IRS, taxation
2012, c corporation, difference between, gross proceeds, s corporation, sales, withholding
