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S Corporations (S Corps) and C Corporations (C Corps) are two common types of business entities in the United States, each with its own set of advantages and disadvantages. 

Here's a comparison of the two:

**1. Taxation:**
   - **S Corporation:** S Corps are pass-through entities, which means that the income and losses of the business are passed through to the individual shareholders' tax returns. S Corps themselves do not pay federal income tax. Shareholders report their share of the income on their personal tax returns.
   - **C Corporation:** C Corps are separate taxable entities. They pay corporate income tax on their profits, and shareholders may also be subject to personal income tax on dividends they receive from the corporation. This is often referred to as "double taxation."

**2. Ownership:**
   - **S Corporation:** S Corps have restrictions on ownership. They can have no more than 100 shareholders, and those shareholders must be U.S. citizens or residents. Additionally, S Corps cannot be owned by other corporations, LLCs, partnerships, or certain types of trusts.
   - **C Corporation:** C Corps have no restrictions on ownership. They can have an unlimited number of shareholders, including other corporations, foreign investors, and various types of trusts.

**3. Formalities and Compliance:**
   - **S Corporation:** S Corps generally have fewer corporate formalities and compliance requirements compared to C Corps. They don't need to hold annual meetings or follow as many corporate governance rules.
   - **C Corporation:** C Corps often have more formalities and compliance requirements, including annual meetings, record-keeping, and adherence to corporate bylaws.

**4. Funding and Investment:**
   - **S Corporation:** S Corps may have limitations when it comes to attracting venture capital or issuing different classes of stock, which can make it less attractive for some types of businesses seeking significant outside investment.
   - **C Corporation:** C Corps have more flexibility in terms of attracting investors and raising capital. They can issue various classes of stock and have more options for raising funds through public offerings.

**5. Liability:**
   - **S Corporation:** Like C Corps, S Corps offer limited liability protection to shareholders, meaning their personal assets are generally protected from business debts and liabilities.
   - **C Corporation:** C Corps also provide limited liability protection to shareholders.

**6. Conversion:**
   - It is possible to convert an existing C Corporation into an S Corporation, although there are specific IRS rules and procedures to follow.

**7. Tax Planning:**
   - The choice between S Corp and C Corp can have significant tax implications, and businesses often consult with tax professionals to determine which entity structure is most advantageous for their specific circumstances.

The choice between an S Corporation and a C Corporation depends on various factors, including your business's size, growth plans, ownership structure, and tax considerations. It's important to consult with legal and financial professionals to make an informed decision based on your unique situation and goals.