We have had the honor of speaking at many conferences this year and have fielded too many questions to count. Having said that, one particular question seems to come up with great frequency among those who own group practices:
“What’s the difference if I’m an S, C or LLC as it relates to the tax impact of selling my business?”
Well, we’ve also closed several deals recently (and have several others in the works) where the corporate election will have a major tax impact on the outcome of the deal. There are structural considerations of the transaction that can offset some – not all – of the tax impact, but make no mistake – corporate entity election swings major dollars at the closing table.