S-Corp setup and tax filing for Miami businesses.
Election analysis, Form 2553, reasonable-comp study, and annual 1120-S filing — handled by a Florida-licensed CPA. Florida imposes no franchise tax on S-corps, making the Miami S-corp structure among the most tax-efficient in the country.
What's included
Election, comp study, filing — in one engagement.
S-corp election analysis and Form 2553
We model whether the S-corp election reduces your self-employment tax net of payroll and filing costs. If the math works, we prepare Form 2553 and file it with the IRS before the deadline. We document the break-even calculation so you know exactly what the election is saving annually.
Reasonable-compensation study
IRS requires S-corp shareholders who work in the business to pay themselves a reasonable W-2 salary (per IRC §3121). We research comparable compensation for your role, document the rationale, and set a salary that is defensible under audit. Getting this wrong is one of the most common S-corp audit triggers.
Form 1120-S and Schedule K-1
We prepare the S-corp's annual return (Form 1120-S) and the Schedule K-1 that flows to your personal 1040. The K-1 includes ordinary business income, separately stated items (charitable contributions, §179 deductions, investment income), and basis tracking for loss deductions.
Year-round comp and distribution planning
S-corp distributions taken beyond the W-2 salary are not subject to self-employment tax — but the ratio of salary to distributions must be defensible. We review the split quarterly, coordinate payroll adjustments before year-end, and model Solo 401(k) or SEP-IRA contributions tied to the salary level.
Why a Miami-based CPA matters for S-corp work
Florida's S-corp advantage is real. A CPA makes it defensible.
Florida is one of the most S-corp-friendly states in the country. There is no personal income tax on S-corp distributions. There is no Florida franchise tax on S-corps (unlike California's $800 minimum plus 1.5% S-corp tax). Pass-through income from a Miami S-corp is taxed only at the federal level — the self-employment tax saving from the W-2/distribution split compounds without a state layer cutting into it.
The IRS requires that S-corp shareholders who work in the business pay themselves a reasonable salary before taking distributions. This is not optional. Per IRC §3121 and cases like Watson v. Commissioner (8th Cir. 2012), the IRS reclassifies distributions as wages when the compensation is unreasonably low — triggering back payroll taxes, penalties, and interest. The reasonable-comp study is not a formality; it is the document you hand to an IRS agent during an examination.
The §199A qualified business income deduction adds another layer of complexity for Miami S-corp owners. For non-specified service trades, the deduction is subject to a W-2 wage limitation: 50% of W-2 wages paid, or 25% of W-2 wages plus 2.5% of the unadjusted basis of qualified property. Getting the salary level right affects not just FICA savings but also the §199A deduction ceiling. A CPA who coordinates the 1120-S, the 1040, and the compensation analysis is doing one job — not three disconnected ones.
How we work
Analysis, comp study, filing, annual review.
01
Election analysis
We review your prior-year income, current entity structure, and projected revenue. The break-even analysis — where SE tax savings exceed payroll and CPA costs — determines whether the election makes sense now or in a future year.
02
Reasonable-comp study
We research market compensation for your specific role using BLS occupational data and comparable-comp benchmarks. The study is documented and retained in your file. Payroll is set up with a service provider (Gusto, ADP) you already use or one we recommend.
03
1120-S preparation
After year-end, we prepare the 1120-S using your bookkeeping records. The return includes all required schedules, basis adjustments, and the Schedule K-1. We file on or before the March 15 entity deadline (or September 15 on extension).
04
Annual planning review
Each year we revisit the salary level, distribution ratio, and retirement-contribution amounts. The reasonable-comp study is refreshed when your revenue or role materially changes. Quarterly estimated taxes are adjusted based on actual distributions each quarter.
Pricing
S-corp work starts at Growth.
S-corp setup and annual 1120-S filing are included in the Growth ($449/quarter) and Professional ($899/quarter) tiers. The election analysis and Form 2553 filing are included in onboarding. Professional adds monthly planning calls and a 24-hour priority response for S-corp owners above $250k of annual revenue. Pricing details are at /pricing.
Your CPA
Cassandra de la Fe — Florida CPA, EFIN-authorized.
Cassandra de la Fe holds a Florida CPA license and prepares all S-corp returns under her own EFIN. She signs the 1120-S and the personal 1040 in the same engagement. Bilingual in English and Spanish, she works with Miami S-corp owners across industries — from Brickell financial professionals to Doral import/export businesses. Read her full profile →
- Florida-Licensed CPA (DBPR)
- EFIN-Authorized (IRS)
- Bilingual — English & Spanish
Related services and neighborhoods
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Questions
S-corp Miami — frequently asked
S-corp analysis. No guessing.
We model the break-even, file Form 2553, and handle the 1120-S every year. A Florida-licensed CPA on every return. Pricing is on the page.