(855) Marcum1 | FOLLOW US           
Marcum LLP
  • EVENTS
  • OFFICES
  • CAREERS
  • SUBSCRIBE  
  • 中文
Marcum LLP
News

As Seen In

 

In This Edition

Publishers Weekly

Publishers Weekly spoke with Tax & Business Services Partner Rob Pesce about when and why it makes sense for independent authors to consider forming a business entity.

Featured: Robert Pesce, Partner, Tax Services

Share:

Excerpt:

With the recent end of tax season, many self-published authors have likely done some thinking about whether they could be saving more money or better protecting themselves from IRS scrutiny. They may have heard from their accountant or other authors that they can do just that by formalizing their publishing work under a business entity.

"Income from an S corp is not subject to Medicare tax," says Robert Pesce, a partner in the media and entertainment group at Marcum LLP. "Only the salary an author is paid by the S corp is subject to the tax. So, an author with an S corporation who is earning $1 million and pays him- or herself $200,000 (a very reasonable salary at that earnings level) will only pay $6,000 (3%) in Medicare taxes, while an unincorporated author (sole proprietor) would pay approximately $30,000. The remaining $800,000 S corporation profit will pass through the corporation to the author, but it will be subject only to regular income taxes (federal, state, and local), not to Medicare tax. That's a $24,000 tax savings."

Click here to read full article on www.publishersweekly.com >>

 
Featured
Robert Pesce

Partner
Tax & Business
New York, NY
 
 
HAVE A QUESTION? ASK MARCUM
 
STAY IN TOUCH.

SIGN UP TODAY FOR MARCUM'S NEWSLETTERS.

ABOUT MARCUM

Marcum LLP is one of the largest independent public accounting and advisory services firms in the nation, with offices in major business markets throughout the U.S., Grand Cayman and China.

Learn More

CONNECT WITH US
               
OFFICES

Headquarters
750 3rd Avenue, 11th Floor
New York, NY 10017

Find an Office

(855) MARCUM1
info@marcumllp.com

FOUNDATION

Marcum Foundation

AFFILIATION

Leading Edge Alliance

DOWNLOAD THE MARCUM ON THE GO APP

© 2016 Marcum LLP. All Rights Reserved.
Privacy | Legal | Sitemap