How To Create A Corporation In New York
Benefits of New York Corporations
Forming a New York Corporation instead of an LLC has become an extremely popular option. New York is the only State that has seen Corporation entity filings go up over the last decade. Why? If you form an LLC, you have to publish a notice in two newspapers for six weeks, wait to get a proof of publishing back from both newspapers, and then file a proof of publication with the NY Division of Corporations.
Creating a corporate structure to operate your business out of should be easy, simple, and done in one day. This can be accomplished by forming a New York Corporation instead of an LLC. If you are looking for the same tax structure of an LLC, almost all LLCs elect to be taxed as an S-corporation. Forming your corporation and then electing it to be taxed as an S-corporation creates almost the same outcome of forming an LLC but saves you about five hours of paperwork filing time and about eight weeks of waiting for others to fulfill archaic publishing requirements.
How New York Incorporation Works
If you’d like to form a New York Corporation, you file a Certificate of Incorporation, which is a simple form that states a few things like your company name and address. After it’s filed, you’ll get a filing receipt back, and a friendly information request letter from the New York Department of Taxation. We recommend getting an EIN number with the IRS and then filing a form 2553 S Corp election.
At this point, when you respond to the tax information request the NY Department of Taxation will send you, you can elect to be taxed in NY as an S Corporation by filing form CT-6 Election by a Federal S Corporation to be treated as a New York S Corporation.
Here is everything you need to know from the NY Department of Taxation about S Corporations and how they want you to interact with them.
New York Corporations will have an annual franchise tax return, and you as the shareholders will have a personal tax return. Also, every two years you’ll have a biennial statement that must be filed with the New York Division of Corporations.
So that all sounds like a lot, but keep in mind that so far, everything we mention here, you would have to do if you formed an LLC, which is why many New Yorkers incorporate a New York Corporation.
What’s Included In Our New York Corporation Package:
- Drafting and filing the Certificate of Incorporation
- Listing our Albany address as the registered office address for service of process with the Secretary of State to keep your address offline.
- 365 days of our New York Registered Agent service. It’s $49 a year.
- New York Corporate Bylaws
- New York Corporation resolutions appointing directors and officers
- New York Corporate Stock certificates
- 1-2 day completion
We offer the greatest value in forming a corporation in New York. Go ahead, check around, but no one offers a package, price, and service like we do.
Thank you for letting us have an opportunity to show you how we could help you incorporate in New York.