Easy Questions  
Free Legal Documents

Orientation to Incorporation in Altamont, NY

Orientation to Incorporation in Altamont, NY


Many companies expect loyal customers without providing loyal service. This has been the visionary failure of countless corporations.
 
- Steve Maraboli


Forming a corporation limits the personal liability for business debts. However, there is more to the creating and running a corporation than doing paperwork. You have to spend your time in the business keeping a good record of all the business activities so that you will not find it hard to handle more complicated tasks like filing a corporate tax return. In terms of limiting liability, you have to be sensible in terms of decision making and record keeping. Getting organized is the key.

How to Form a Corporation

• File an "Articles of Incorporation" at the corporate divisions in the secretary's office of your state government.

• Create a corporate "bylaws" that states the basic rule that govern the ongoing decision or formalities of the corporate life.

• Issue stock certificates of the initial owners or shareholders of the corporation and document the ownership interest or the shares of stock in the business.


To retain the corporate status as a legal, separate entity, certain formalities should be observed by the owners of the corporation. This includes:

• Holding of directors' and annual shareholder meetings

• Minutes of meetings and agreement or decisions should be documented

• Signing of documents by the corporate officers and directors should be done under the name of the corporation

• Bank accounts are separate from the personal accounts of the owners

• Maintain a detailed financial records

• Income tax return should be filed separately

Limited Personal Liability

Personal assets of the people involved in the corporation are protected from the creditors. In cases where a corporation owes a creditor, your personal assets is protected because only corporate assets will be use to pay the debts. The only money you will likely end up losing, is the money you have invested in the corporation.

Exceptions to Limited Liability

There are situations where the owners' personal asset is not protected by limited liability. The owner of the corporation will be held personally responsible if:

• Directly and personally injured another person

• Personally guarantees a bank or business loan which the corporation fail to pay

• Fail to deposit withhold taxes from employees

• Intentionally engage in fraudulent causes that can harm the company

• Treats the corporation like an extension of his personal affairs and not as a separate legal entity

Corporation should be treated as a separate legal entity. This is the very important especially in cases involving court proceedings. The court can rule that the corporation does not exist and the owners should not be shielded from their personal liability for their actions. This is likely to happen if you did not follow the routine corporate formalities such as:

• Adequately investing money in the corporation

• Formal issuance of stock to the initial shareholders

• Holding of meetings regularly of the directors and shareholders

• Keeping a separate business records and transactions from those of the owners


Liability Insurance

Forming a corporation can protect your personal assets but it should not be an excuse for not getting insurance. Insurance can be a good investment that can protect the company from lawsuit and claims. The risk of doing business can be minimized by getting a solid liability insurance policy. Any claims made by the corporation can be covered by the insurance as long as the corporation is also doing its part like paying the bills and other corporate responsibilities.

Paying Corporate Income Tax

Corporate income tax refers to the taxes paid by the corporation on whatever profits they left after it has paid all the available expenses like salaries, bonuses, overhead and other expenses. It uses a tax return form to be filed to the IRS and pay taxes at a special corporate rate tax. In terms of the owner, if he is working for the corporation, he should be paid a salary and possible bonuses like other employees and pay their taxes using their own personal tax return.

Corporation shareholders can choose to elect an S corporation status by filling at the IRS a tax Form 2553. Using this form can mean that the corporation will be treated like a partnership where business profits and loss will be reported on the each shareholder‘s individual tax returns.

 
Personalize & Print a Free NY Last Will Download this Document
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Page 9
Page 10
 
Personalize & Print a Free NY Living Will Download this Document
Page 1
Page 2
Page 3
Page 4
Page 5
Page 6
Page 7
Page 8
Related Legal Services near Altamont, NY
Anita Fugoso, RPT BS HHP
66 Summer St
Buffalo, NY 14209
(716) 307-9898
Family Law Attorneys, Attorneys, Divorce Assistance
Henry Caruso Law Office
8225 3rd Ave
Brooklyn, NY 11209
(718) 759-9890
General Practice Attorneys, Attorneys
Santucci Michele
11 Oaktree Ln
Schenectady, NY 12309
(518) 783-9861
Attorneys, Legal Service Plans
Michael L. Walker, Esq., PLLC
9052 Fort Hamilton Parkway, Second Floor Suite
Brooklyn, NY 11209
(718) 680-9700
Bankruptcy Law Attorneys, Attorneys, Real Estate Attorneys
Crispo Pasquale J
2 Stuyvesant Oval
New York, NY 10009
(212) 777-9211
Attorneys, Legal Service Plans
Mammolito Jerome
7512 3rd Ave
Brooklyn, NY 11209
(718) 238-9100
Attorneys, Legal Service Plans
William Basso Law Offices
253 83rd St
Brooklyn, NY 11209
(718) 833-8855
General Practice Attorneys, Attorneys
Gangemi Ursula A
7820 3rd Ave
Brooklyn, NY 11209
(718) 238-8855
Family Law Attorneys, Attorneys, Legal Service Plans
Delicata Alfred A
484 White Plains Rd
Eastchester, NY 10709
(914) 337-8080
Attorneys, General Practice Attorneys, Legal Service Plans
Alexanderson Peter C
1454 Route 22
Brewster, NY 10509
(845) 279-7890
Attorneys, Legal Service Plans
Bruce S Trachtenberg Law Ofc
2350 Barcelona Rd
Schenectady, NY 12309
(518) 382-7815
General Practice Attorneys, Attorneys, Legal Service Plans
Cossingham George L
707 Delaware Ave Apt C
Albany, NY 12209
(518) 434-7718
Attorneys, Legal Service Plans
Fico Gaetano D
2103 Milton Ave
Syracuse, NY 13209
(315) 218-7411
Attorneys
De Fio Dan
774 State Fair Blvd
Syracuse, NY 13209
(315) 488-7339
Attorneys, General Practice Attorneys, Legal Service Plans
Zivitov Boris
457 77th St
Brooklyn, NY 11209
(718) 833-7333
Attorneys, General Practice Attorneys
Giardina Lawrence
8212 3rd Ave
Brooklyn, NY 11209
(718) 238-7300
Attorneys, Legal Service Plans
Binder & Binder
9201 Fourth Ave Suite 703
Brooklyn, NY 11209
(718) 748-7107
Social Security & Disability Law Attorneys
Motelson Michael
101 Tyrellan Ave # 420
Staten Island, NY 10309
(718) 984-7077
General Practice Attorneys, Attorneys, Legal Service Plans
Three Lakes Managmnt Corp
Brewster Rd
Brewster, NY 10509
(845) 279-7051
Attorneys, Legal Service Plans
Difiore & Retta
575 White Plains Rd
Eastchester, NY 10709
(212) 775-7004
General Practice Attorneys, Attorneys
Grimaldi & Yeung LLP
9201 4th Ave
Brooklyn, NY 11209
(718) 238-6960
Attorneys, Legal Service Plans, Estate Planning, Probate, & Living Trusts, Elder Law Attorneys, Esta
Kaplin Richard A
478 Bay Ridge Pkwy
Brooklyn, NY 11209
(718) 238-6800
Attorneys, General Practice Attorneys, Legal Service Plans
Ward Law Office
2103 Milton Ave
Syracuse, NY 13209
(315) 488-6740
Attorneys,  General Practice Attorneys,  Legal Service Plans,  Family Law Attorneys,  Divorce Attorn
Cioffi Slezak Wildgrube
2310 Nott St E # 1
Schenectady, NY 12309
(518) 377-6700
Estate Planning Attorneys, Attorneys, Legal Service Plans
12Law.com   |  NASHVILLE, TN USA   |  CONTACT US