Post-Formation Tax Setup & Accounting Foundation
Once your entity is formed, we set up the tax foundation: S-election analysis and filing, chart of accounts build, opening balance reconciliation, and the accounting policies that determine your first tax return.
We handle the accounting side. Formation services handle the filing.
Troy Accounting is an accounting and tax firm. We do not perform legal entity formation, prepare Operating Agreements, or file BOI reports. For the actual entity formation (state filing, registered agent, BOI report, ongoing compliance monitoring), we recommend working with a dedicated formation service or your business attorney. Once your entity exists, we take over the accounting and tax foundation work that determines whether your first year of operations is clean or full of remediation.
Most new entities sit at the wrong default tax classification.
A single-member LLC is disregarded for tax by default. A multi-member LLC is a partnership. An LLC can elect S-corp or C-corp treatment via Form 8832 (and Form 2553 for S-corp). Each election has different implications for payroll tax, distributions, ownership flexibility, and exit treatment. Most new businesses sit at the default classification when a deliberate election would save material money. The S-election in particular has a strict 75-day window from the desired effective date.
- S-election analysis with quantified annual payroll tax savings
- Form 2553 S-election filing within procedural windows
- Form 8832 entity classification elections where applicable
- Tax-driven chart of accounts build (not a generic template)
- Opening balance reconciliation if entity has historical activity
- Accounting policy documentation (revenue recognition, depreciation, capitalization)
- First-year tax planning calendar with all federal and state deadlines
From newly formed entity to operational tax foundation
Schedule a Consultation
A 30-minute consultation to confirm entity type, ownership, and the tax decisions worth running now.
Receive a Proposal
A written proposal covering scope, fees, and timeline for the foundation work.
Foundation Build
S-election if elected, chart of accounts, accounting system setup, and your tax calendar for year one.
Ongoing Engagement
Continue into monthly bookkeeping, tax preparation, or fractional CFO depending on scope.
FAQ
Can you form the entity for me?
No. We do not perform legal entity formation. For the actual filing, registered agent, Operating Agreement, and BOI report, we recommend working with a dedicated formation service or your business attorney. We handle the accounting and tax foundation that comes after.
Should my LLC elect S-corp status?
If your LLC has net income above approximately $80K to $100K and you take meaningful owner draws, S-corp election typically saves payroll tax. Below that threshold, the savings rarely justify the added compliance cost. We run the math individually during your consultation.
I missed the S-election window. Can it be fixed?
Yes. Rev. Proc. 2013-30 provides late S-election relief for entities that intended to be S-corps. We file the late-election request with the required statements.
Do you handle BOI reporting?
BOI reporting falls outside our accounting practice. We coordinate with formation services and attorneys who handle BOI as part of their offering.