LLC vs S-Corp: Which Is Best For Cam Models?

Empress Mika

Camgirls: LLC Vs S-Corp

A common question when thinking about incorporating is whether or not a cam model should obtain an LLC or S-Corp. I hope this article helps you decide what may be right for you. However, it is always best to talk to a tax professional so that he/she may properly access your situation more carefully.

 

LLC & S-corp: Traits in Common

In order to best navigate through the topic of LLCs vs S-Corps, let’s first talk about the similarities between the two.

Limited Liability: Both LLCs and S-Corps will limit your liability. This protects you and your personal assets.

State Filing Required: Both LLCs and S-Corps require state filing and are considered legal entities.

Income Tax Not Paid Through Business: Both LLCs and S-Corps do not pay income tax at the business level. Instead, income tax is taxed through the owner’s personal tax returns.

Obligations and Rules: Both LLCs and S-Corps must follow a certain set of rules which may include such things as having a registered agent, filing yearly reports, paying yearly fees, and keep up-to-date records for the state in which the business resides in.

 

LLC & S-Corp: Differences

Although LLCs and S-Corps certainly have things in common, there are some key differences that I’ve highlighted below.

Of course, this doesn’t encompass all of their differences but just a few key points that are likely to pertain to you as a cam model or clip producer. Many of the differences come into play when there are multiple members involved. However, it is likely that you will just be a one-person LLC or S-Corp.

  • Non US citizens can be members of LLCs where as S-Corps only allow for US citizens
  • S Corps cannot be owned by a corporation, LLC or partnerships whereas an LLC can.
  • S Corp owners can be treated as an employee and paid a salary in which taxes are paid only on that paid salary. Therefore, for self-employed workers like us, this is quite beneficial. LLCs taxed as an S-Corp has this option too but it must be taxed in this manner.

Again, it is always best to speak with a tax professional regarding your situation before you take any action. This article is meant to serve as a starting point to what might be best for you and your situation.

Best of luck!

See Also: Katy Churchhill’s Advice On Filing A Business

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Empress Mika
Empress Mika 21 posts

Empress Mika is a successful online female dominatrix that indulges in FemDom fetishes both in clips as well as live on cam. She owns the ultimate FemDom resource website for both Dommes and subs: DommeSource.com. Empress Mika as well as DommeSource are proud to partner and collaborate with Webcam Startup.

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