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This is a double sided question. The direct answer is that Obama will not raise taxes on S-Corporations. S-Corporations rarely pay taxes. Their profits flow through a schedule K-1 to the owners individual income tax return.

If Obama raises personal income taxes, which he probably will, then yes you will pay more.

The biggest issue with Obama and S-Corporations is the fact that Obama wants the profits from an S-Corporation to be subject to Social security Taxes. Under present law, an owner of an S-Corporation can take distributions of profits and not pay social security taxes. The only tax you pay on S-Corp profits is federal income taxes. If he does pass this change then owners of S-Corps will pay upwards of 15.3% of their profits for Social Security Taxes. Thus eliminating the need to form an S-Corp.

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โˆ™ 2013-03-13 21:17:55
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Q: Does obama support increasing taxes on S corporations?
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Related questions

Does Barack Obama support taxes?

There is no such thing as "supports taxes" or "does not support taxes." Taxes are a fact of life, there is no way for Pres. Obama to not support taxes. President Obama supports a progressive tax, meaning rates are higher on the rich then the poor.

Will Barack Obama rise taxes?

Barack Obama states he will not raise taxes.

Why is Obama increasing your Taxes?

He isn't. This is political rhetoric from the president's opponents. It is common in politics for one side to accuse the other of raising taxes, but in this case, there is evidence that President Obama has actually given Americans a number of tax cuts. I enclose a link with further information about that.

What is obama point of view on the taxes?

raise taxes

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Why does the double taxation problem exist for corporations?

Double taxation occurs because corporations are entities. As such, they have to pay taxes and shareholders have to pay taxes on the income distributed by the corporation.

How much has Obama raised taxes?

Actually, most objective sources say he has cut taxes, especially for small businesses and working families. His political opponents claim he raised taxes on everyone, but there is not much evidence to support this claim. In late 2011, the fact-checking site said President Obama's assertion that he had lowered taxes for the middle class was true.

What does the federal reserve do to fight recession?

Support legislation of higher taxes for the wealthy, also put in place strong regulatory rules that corporations, and banks can't get across.

What percent of taxes did Barack Obama pay?

According to his 2011 income taxes, Barack Obama was taxed at an effective rate of 20.5%. He and his wife paid $162,074 in taxes.

What does double taxation mean?

Corporations pay income taxes on their profits, and stockholders pay taxes on their dividends.

Can you give a list of Obama's staff who actually paid taxes?

There are currently 100 Obama staff members that have not yet filed taxes.

How does Barack Obama feel about taxes?

Obama loves taxes because he's a politician and all they want is more federal power. Obama's also a liberal and thus twice as bad as a normal politician. So Obama loves taxes because they add to the federal reserve.

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