Stress-Free S-Corp Election Services in Houston

Stop overpaying in self-employment taxes. Electing S-Corp status can save you thousands—but only if done correctly. Trust Molen & Associates to file your Form 2553 on time and guide you through the transition.

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Strategic S-Corp Election Services from a Trusted Local Firm

Operating as a successful LLC often means getting hit with a high self-employment tax bill. At Molen & Associates, we help you determine if “checking the box” to become an S-Corp is the right strategic move for your business. With over 40 years of experience, we guide you through the specific requirements—like filing Form 2553 on time—to unlock significant tax savings and protect your hard-earned revenue.

However, becoming an S-Corp isn’t just about filing a form; it fundamentally changes how you pay yourself. It introduces the requirement for “reasonable compensation” and formal payroll. We act as your partner in this transition, ensuring you implement the structure correctly so you maximize savings without triggering red flags with the IRS. That’s the Molen way.

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c corporation tax preparation

Key Requirements for S Corp Election in Houston

Choosing the right business entity is a vital decision for any entrepreneur. For many small businesses in Houston, an S Corporation is a powerful option, offering the professional structure of a corporation along with significant tax advantages designed to support growth.

As a pass-through entity, an S Corp ensures that business income is taxed only at the individual level rather than the corporate level. This structure allows owners to avoid the burden of double taxation, creating valuable opportunities to maximize annual tax savings and increase overall profitability.

To secure this status, you must first file Articles of Incorporation with the Secretary of State. Once approved, you have a specific 75-day window to file Form 2553 with the IRS to officially finalize your election as a Small Business Corporation for the tax year.

The Advantages of Forming an S Corporation

There are several advantages to forming an S corporation over other types of business entities. One advantage is that S corporations offer liability protection for their shareholders. This means that if your business is sued, the shareholders’ personal assets will not be at risk. Another advantage of S corporations is that they can help you save on taxes. This is because S corporation income is only taxed at the individual level, not at the corporate level. Finally, S corporations can make it easier to raise capital because they can issue stock to investors.

 

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Why Choose Molen & Associates for Your S-Corp Election?

Data-Driven Decision Making

An S-Corp isn’t right for everyone. We don’t just file the form; we perform a break-even analysis first. We ensure your potential tax savings will exceed the additional costs of payroll and administration, so you can be confident the switch will actually save you money.

Deadline & Late Relief Mastery

The IRS has a strict 75-day window for elections. We manage this timeline for you. If you have already missed the deadline, don’t panic—our team is experienced in filing “Late Election Relief” to help you capture retroactive savings when possible.

Transparent Pricing, No Surprises

Changing your entity status impacts your wallet in multiple ways. We provide clear, flat-fee pricing for the election service itself, and we honestly explain the future costs of maintaining an S-Corp (like payroll fees) so you have the full financial picture upfront.

What You Can Expect

Significant Tax Savings

The primary goal of this election is to keep more of what you earn. By converting your business structure, we help you legally avoid the 15.3% self-employment tax on your profits, potentially putting thousands of dollars back into your pocket every year.

A Seamless Transition

Becoming an S-Corp changes how you pay yourself—shifting from “owner’s draw” to a formal W-2 salary. We guide you through this operational change, helping you set up reasonable compensation so the transition feels effortless rather than overwhelming.

IRS Compliance Assurance

We ensure your election is ironclad. From verifying shareholder eligibility to filing Form 2553 correctly and on time, we handle the bureaucratic details to ensure your new tax status is approved and recognized by the IRS without issue.

Partnership Tax Preparation in Houston, TX
Tax & Accounting for Logistics Businesses

Who We Serve

  • Self-Employed & Side Hustlers
    Realtors, law enforcement, rideshare drivers, and anyone with 1099 income—this is our specialty. We’ll help you track expenses, reduce taxes, and stay compliant.

  • Small Business Owners
    From LLCs to S Corps, we’ve filed thousands of business returns. We know the difference between a missed deduction and a strategic tax plan—and we’re here to make sure you get the latter.

  • W-2 Employees with Complex Returns
    Have investment income, rental properties, or stock options? We’ll guide you through what applies and ensure it’s all reported accurately.

What Makes Molen & Associates Different?

We Treat You Like Family

You’re not a file number—you’re a person with goals, responsibilities, and a life you care about. We take the time to understand your story and tailor our advice accordingly.

We Educate, Not Just Calculate

We explain why we’re doing what we’re doing. Expect clear, plain-English explanations—not tax code gibberish.

Year-Round Support

Tax questions don’t start and end in April. You’ll have access to our team all year long, with no extra charge for emails or quick calls.

Proven Track Record

With over 10,000 tax returns filed and a 98% client satisfaction rating, we’ve helped save Houston taxpayers over thousands. Our Google reviews say it all—clients trust us with their returns year after year.

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See What Our Clients Say

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Frequently Asked Questions

Get clear answers to common questions about our tax preparation services.

What exactly is an "S-Corp Election"?

It is important to understand that an “S-Corp” is not a business entity you form with the state; it is a tax status you request from the IRS. By filing Form 2553, you are asking the IRS to tax your existing LLC (or C-Corp) under Subchapter S of the tax code. This allows you to avoid double taxation and potentially reduce your self-employment tax liability.

How does electing S-Corp status save me money?

The primary benefit is the reduction of Self-Employment Tax. In a standard LLC, you pay 15.3% tax on your entire net profit. With an S-Corp election, you split your income into a “Reasonable Salary” (subject to the 15.3% tax) and “Distributions” (exempt from the 15.3% tax). For profitable businesses, this split can save thousands of dollars annually.

Is there a deadline to make the S-Corp election?

Yes. To be effective for the current tax year, you generally must file Form 2553 no later than two months and 15 days after the beginning of the tax year. For most calendar-year businesses, this deadline is March 15th. If you file after this date, the election typically takes effect the following tax year.

I missed the March 15th deadline. Is it too late for this year?

Not necessarily. The IRS offers “Late Election Relief” (often usually under Revenue Procedure 2013-30) for businesses that had reasonable cause for missing the deadline. Molen & Associates can help you prepare the special paperwork required to request a retroactive start date, potentially saving your tax strategy for the current year.

Does every business qualify for S-Corp status?

No, there are strict eligibility rules. Your business must be a domestic corporation or LLC, have only allowable shareholders (individuals, certain trusts, and estates—no partnerships or corporations as owners), have no more than 100 shareholders, and have only one class of stock. We review your structure to ensure you qualify before filing.

45+

Years of Experience

10,000+

Returns Prepared

98%

Client Satisfaction

1000s

Happy Clients

Why Choose Molen & Associates?

Professional tax preparation that delivers real results for Houston residents and businesses.

Maximize Deductions

We identify every eligible deduction to ensure you pay the lowest amount legally possible.

Save Time

Let our experts handle the complexity while you focus on what matters most.

Audit Protection

Rest easy knowing your return is prepared accurately. We can even help with full audit support.

Personalized Service

Work directly with experienced Advisors who understand your unique situation.

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Year-Round Support

Access to tax professionals whenever you need guidance, not just during tax season.

Proven Expertise

Decades of experience serving Houston residents and businesses. We’re just a phone call away!

Request an Appointment Today

Fill out the form and our team will contact you as soon as possible.

Ready to File with Confidence?

Tax season doesn’t have to be stressful. Whether you’re filing for the first time, managing a complex return, or just tired of doing it alone—our team is ready to help.

Let Molen & Associates take tax prep off your plate—so you can focus on what matters most.

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