ENTITY SELECTION AND FORMATION
Why It Matters?
Establishing a business entity and positioning yourself as a qualifying active trader allows you to recharacterize several investor deductions that were previously categorized as “below-the-line” into “above-the-line” business trader deductions. Another significant advantage of establishing a separate legal entity is the protection it offers against liability. As an independent entity, the business shields its owners from personal liability for the entity’s debts, obligations, and liabilities.
What To Expect
- Name Availability Check
- Register the Entity with the State and Prepare Articles of Incorporation/Organization
- Customized Trader-Specific Operating Agreement/By Laws
- Apply for Federal Tax ID Number (EIN)
- S-Corp Election Form 2553 (If needed)
- Mark-To-Market Election (If needed)
- Resolution to open a Business Banking Account
- Resolution to open a Trading Account
This service for our new trader business entities is provided by
an of-counsel lawyer. Our attorney prepares the customized
operating agreement. At a high level, this document sets forth
the structure, management, decision-making process, and
operating procedures for the new entity. An operating
agreement is invaluable in laying out how the entity is arranged,
how it will be run, and how it goes about its work.
At a flat rate of $697, you’ll have access to CPA services, legal
counsel, and the payment of any state filing fees required. –If
you live in MA, NV, TN, TX, or AK there will be a $100 incremental
fee as these states charge higher than normal filing fees.
Our Process
- We consult you on the best entity for your business
- You fill out a short form to provide your business info
- We file the entity, apply for an EIN, and prepared any other necessary documentation
- Once approved, you will be able to open both a brokerage and bank account
Why Work With Us
Timely Responses
We are committed to maintaining clear and timely communication, prioritizing quick response times. Our goal is to provide feedback within days – not weeks or months like other CPAs – so you can move forward with your taxes confidently.
Strategic Planning
Many of our new clients are discovering the importance of tax planning for the first time. A personalized tax strategy is essential to ensure you don't overpay and miss out on potential savings.
Up-To-Date
We stay up-to-date with emerging industries and ever-changing tax laws to pass savings onto you. Additionally, we leverage technology to optimize the client experience, ensuring we stay ahead of the curve.
Care & Education
With us, you're not just getting a standard tax return service — we aim to empower you with the knowledge to make informed decisions by teaching you the how and the why. Our team will look out for your best interests as if your money were our own.
