BizSugar.com › Strategy › Taxation Benefits of Incorporating: Save Money through Incorporation

Someone once remarked, “Next to being shot at and missed, nothing is quite so satisfying as an income tax refund.” There’s no question that saving money in taxes is high on everybody’s list of financial priorities, especially self-employed business owners.

However, unlike individuals who work as employees for an employer, business owners actually have the “luxury” of choosing how much in taxes they pay each year by picking one form of business entity (sole proprietorship, partnership, corporation, etc.) over another. Unfortunately, the majority of business owners choose a business entity once (usually when starting out) then keep the same entity for the life of the business. This isn’t necessarily the smart thing to do. (Read the article When to Change Your Legal Structure)