Owning
and Operating Trucks is Serious Business....
6 Reasons Why A
Corporation Can Protect Your Personal Assets, Increase Profits
and Reduce Your Tax Burden
by Jacques Luben, Editor
Inc. Plan Business Review
 Independent
Truckers enjoy benefits of self employment:
No boss....
Opportunity for profit .... Flexible hours ...Potential for lower
taxes... Casual dress....
...Lifestyle choices that many salaried employees can only dream about.....
However,
Independence also involves risk.
You do not want to lose your home, retirement savings
and day-to-day livelihood if you are involved in a major
accident (or lawsuit) that results in financial damages that
are larger than your insurance coverage.
 To
help our Owner-Operator clients become more informed about forming
the "right" business structures for their trucks , Inc.
Plan (USA) has consulted with experienced professionals to develop
an effective set of strategies that can reduce personal liability
(and taxes) in a legal manner.
As a
result, we have identified 6 major reasons for Truckers to establish
Corporations (or Limited Liability Companies) to improve their
business activities:
1. The corporate structure provides
a protective wall that shields the Trucker's personal assets
if his corporation becomes the target of a lawsuit that is
related to his business activities. The corporation owner's
private property cannot normally be confiscated to satisfy
a legal judgement against his (or her) corporation.
2. The
incorporated Trucker can operate out of his (or her) personal residence
with valuable tax deductions. This "Home Office" arrangement
can create business deductions that reduce the amount of income
taxes that are owed to Federal and Local tax authorities.
3. A
sound corporate structure provides valuable tax deductions for
health insurance, larger pension benefits, telephone, travel, entertainment
and other legitimate expenses that reduce the Trucker's tax bill.
4. With
a corporation, the Trucker can frequently increase credit lines
and attract new investors to his venture. The corporation owner
is now the President of a company that is properly established
to generate respect (and increase credit availability) from the
people who count: Suppliers, customers, bankers and companies that
lease equipment.
In addition,
the process of finding more capital from outside investors is greatly
simplified
in a corporate framework.
5. If
the Trucker performs work for a small number of customers, the
corporation can prevent him (or her) from being treated as a company
employee for tax purposes. This is a very important distinction
because when the trucker is incorporated, his clients are not generally
obligated to withold the income (and FICA) taxes that are applied
to employee wages.
6. The
corporation structure normally reduces the Trucker's business insurance
and liability costs. Remember, if your personal assets are protected
from your company's lawsuits, you have fewer assets to insure and
lower premiums to pay.
Inc
Plan (USA)'s primary goal is to provide you with the "corporate
tools" that will help protect your personal assets, improve
the management of your company and help save on taxes.
Please
call Inc. Plan (USA)'s friendly staff at (800) 462-4633 or
Click
Here to fill out an online incorporation application.
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