Form, register, and file your S Corporation, all in a few clicks. Lower taxes, protect your assets, and stay compliant with smart automation.
An S Corporation (S Corp) is a special type of corporation created through an IRS tax election. It allows a business to enjoy the benefits of incorporation like limited liability protection, while being taxed similarly to a sole proprietorship or partnership. Unlike a regular C Corporation, which pays corporate income taxes, an S Corp allows profits and losses to pass through directly to the shareholders’ personal tax returns. This means the business itself doesn’t pay federal income tax, helping you avoid double taxation. But there’s more to it than just taxes. S Corps offer a formal structure that boosts your company’s credibility, while still giving you flexibility in how you pay yourself through a reasonable salary and additional tax-advantaged distributions.
Starting your S Corp journey with Otto AI is simple, fast, and fully guided. We take the complexity out of business formation so you can focus on what matters — growing your business.
Choose State & Share Details
Select the state and provide your business name, contact info, and a few key details.
We File Formation Documents
Otto AI prepares and files your Articles of Incorporation with the Secretary of State. This legally forms your corporation.
Elect S Corp Status with IRS
Once your corporation is formed, we file Form 2553 with the IRS on your behalf to elect S Corp tax status.
Forming an S Corp with Otto AI offers more than just tax perks, it gives your business a strong legal foundation.
Save on taxes through owner distributions
Protect your personal assets from business risks
Build professional trust with clients and banks
Attract investors with a formal structure
Forming an S Corporation with Otto AI helps you save on taxes and stay legally protected, all while keeping your business simple to manage.
Pay less in self-employment taxes legally
Avoid double taxation with pass-through profits
Protect personal assets from business liabilities
Easier to raise funds and transfer ownership
Stay IRS compliant with Otto’s built-in tools
Otto AI makes your S Corp formation smooth, compliant, and future-ready, no legal jargon required.
Business name availability check
Articles of Incorporation filing
IRS Form 2553 (S Corp election) filing
EIN (Employer Identification Number) setup
Registered Agent service options with Smart compliance dashboard
Everything you need to manage, organize, and grow your business with ease.
Easily handle formation, incorporation, S Corp setup, and compliance.
Smart financial assistant with a dedicated bookkeeping team and bookkeeper.
Create, track, and securely e-sign contracts to ensure compliance and deadlines.
Confidently plan taxes with expert CPAs and smart tools to track deductions.
Real-time business reports show where you stand today and what to do next.
All in one accounting software for small businesses to handle your books, taxes, invoices, and contracts.
Straight from our customers—how Otto is changing the way creative businesses manage money.
An S Corporation is a tax classification that allows income to pass through to owners’ personal returns, avoiding corporate tax. With Otto AI, S Corp registration is fast and fully guided.
Unlike a C Corp, where income is taxed at both corporate and personal levels, an S Corp offers pass-through taxation. You can file for an S Corp to reduce your overall tax burden.
Not all businesses qualify. To complete S corporation registration, you must be U.S.-based, have 100 or fewer shareholders, and only one class of stock.
Yes. You must first form a legal entity—like a corporation or LLC—before you can file S Corp online using IRS Form 2553.
S Corps allow you to reduce self-employment tax by splitting income between salary and distributions. This makes it a popular choice over LLC or sole proprietorship setups.
You must pay yourself a reasonable salary (subject to payroll taxes) and may take additional profits as distributions after S corp filing is complete.
Yes. Otto AI securely stores client details, so creating future invoices takes seconds, just select the client and everything auto-fills.
S Corp formation documents include Articles of Incorporation filed with your state and IRS Form 2553. Otto AI prepares all documents and handles the process for you.
Yes. Otto AI supports S corp registration in all 50 states and provides full compliance tools, including annual reports and S Corp business license guidance where required.
If you miss the IRS deadline, you may need to wait until next tax year unless you qualify for late relief. Otto ensures timely S corp filing to help avoid delays.
Yes. An LLC or sole proprietorship can elect to be taxed as an S Corp by filing Form 2553. Otto AI makes the transition simple and compliant.
Absolutely. We help you create S Corp online and include filing Form 2553 with the IRS when you register S Corp with Otto.
After you start S Corp online, you must maintain compliance: file annual reports, keep meeting minutes, run payroll, and meet all federal and state requirements.
Otto AI guides you through formation, IRS filings, and compliance, built for modern business owners.
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