S-Corp CPA Fort Worth TX: Elections, Salary Analysis, and 1120-S Returns
Fort Worth added more than 32,000 residents in a single year, making it the fastest-growing city in the Dallas-Fort Worth metro. That growth is fueling a wave of new businesses, from contractors serving the Near Southside construction boom to consultants supporting Lockheed Martin and American Airlines HQ operations. Many of these owners are still filing as sole proprietors or single-member LLCs, which means they are paying self-employment tax on every dollar of profit. For a Fort Worth business owner netting $120,000 or more, that can mean $8,000 to $15,000 in unnecessary tax each year.
Our Services
Our S-Corp Election and Tax Services for Fort Worth Clients
When you work with us, you get a complete S-Corp engagement, not just a form filed and forgotten. Here is exactly what Fort Worth clients receive:
- S-Corp election analysis: We review your net profit, business structure, and growth trajectory to determine whether electing S-Corp status will produce meaningful tax savings after accounting for payroll costs and additional filing requirements.
- Form 2553 preparation and filing: We prepare and submit your IRS election, including late-election relief requests under Revenue Procedure 2013-30 if you missed the standard deadline.
- Reasonable salary determination: We research comparable wages for your role, industry, and the Fort Worth market to set a salary the IRS will accept, balancing tax savings against audit risk.
- Payroll setup and processing: We establish your W-2 payroll, handle quarterly 941 filings, and manage year-end W-2 and W-3 forms so your salary payments are documented correctly.
- Annual 1120-S return and K-1 preparation: We prepare your S-Corp federal return and issue Schedule K-1s to all shareholders, ensuring distributions and basis are tracked accurately.
- Texas Franchise Tax compliance: Every Texas entity, including S-Corps, must file a Franchise Tax Report and Public Information Report by May 15 each year. We handle both filings for $250 to $500 annually.
Why Fort Worth Businesses and Residents Choose AG Freideman
Al Freideman handles your account personally. With 30 years of experience as a licensed CPA, Al reviews every S-Corp election, every salary calculation, and every 1120-S return himself. Fort Worth clients never get handed off to junior staff or a seasonal preparer.
Virtual appointments make distance irrelevant. Our office is on Preston Road in North Dallas, roughly 40 minutes from Sundance Square. But most Fort Worth clients never need to make that drive. We handle consultations, document collection, and ongoing communication through secure virtual meetings, which is especially convenient for owners near the TCU area or Camp Bowie corridor who are busy running their businesses.
Transparent, published pricing. S-Corp and partnership returns (Form 1120-S, 1065, K-1 prep) run $1,000 to $2,000. Monthly bookkeeping with payroll processing runs $300 to $600 per month. We quote your total before we start, and the price you see is the price you pay.
52 five-star Google reviews with zero negative reviews. Fort Worth clients regularly tell us they chose AG Freideman after reading our reviews and seeing the same pattern: personal attention, clear communication, and real tax savings. Every single review is five stars.
S-Corp Election and Tax Questions from Fort Worth Clients
When does an S-Corp election make sense for a Fort Worth business owner?
Generally, an S-Corp election starts producing net savings when your business profits consistently exceed $50,000 to $60,000 per year after expenses. Below that level, the added costs of payroll processing, a separate 1120-S return, and Franchise Tax compliance can offset the self-employment tax savings. Many Fort Worth owners in industries like consulting, healthcare staffing near Cook Children’s or JPS Health, and professional services cross this threshold quickly given the area’s median household income of $88,000 and strong business environment.
How much can an S-Corp save me in self-employment tax?
The savings depend on your net profit and the reasonable salary you pay yourself. As a simplified example: if your business nets $150,000 and you pay yourself a reasonable salary of $70,000, only that $70,000 is subject to the 15.3% self-employment tax (technically split between employer and employee FICA). The remaining $80,000 passes through as a distribution, saving you roughly $12,240 in self-employment tax. Your actual numbers will differ, and we run this calculation with your real figures during your consultation.
What is a reasonable salary for an S-Corp owner in Fort Worth?
The IRS requires S-Corp owners who perform services for the business to pay themselves “reasonable compensation” before taking distributions. Reasonable means comparable to what you would pay someone else to do the same job in the same market. For Fort Worth, we research Bureau of Labor Statistics data and industry benchmarks specific to DFW. Setting the salary too low invites an IRS reclassification of distributions as wages, which triggers back taxes, penalties, and interest. We help you find the right number that holds up under scrutiny.
Can you file the late S-Corp election for my Fort Worth business?
Yes. The standard deadline for a 2026 S-Corp election is March 15, 2026 (or within 75 days of forming a new entity). If you missed that window, the IRS allows late-election relief under Revenue Procedure 2013-30 when reasonable cause exists and you meet specific criteria. We have successfully filed late elections for Fort Worth and DFW clients who did not realize the deadline had passed. The sooner you act, the more straightforward the relief request.
Does Texas charge a state tax on S-Corp income?
Texas has no personal income tax, so S-Corp distributions and salary are not taxed at the state level for individual owners. However, the S-Corp entity itself is subject to the Texas Franchise Tax (also called the margin tax). Businesses with total revenue under $2.47 million owe no franchise tax but must still file the annual report and Public Information Report by May 15. We prepare and file both as part of our S-Corp engagement.
What does S-Corp tax preparation cost at AG Freideman?
Our S-Corp and partnership returns (Form 1120-S or 1065 with K-1 preparation) range from $1,000 to $2,000, depending on the complexity of your return and number of shareholders. Monthly bookkeeping with payroll processing is $300 to $600 per month. A one-time tax planning session to evaluate whether an S-Corp election is right for you starts at $197. We are upfront about every cost before work begins.
Get Started from Anywhere in Fort Worth
Whether you run your business near Sundance Square, along the I-30 corridor, or out in the rapidly growing neighborhoods of north Fort Worth, the process starts the same way: a no-obligation consultation where we review your numbers and tell you honestly whether an S-Corp election will save you money. Most Fort Worth clients work with us entirely through virtual meetings and secure document sharing. Call Al Freideman directly at (972) 893-3481 or book your free consultation at agfreideman.com/meeting/ to find out what an S-Corp election could save your Fort Worth business this year.
Visit Our Office
Address: 17304 Preston Rd Ste 861, Dallas, TX 75252
Phone: (972) 893-3481
We also offer virtual appointments for clients throughout the DFW metroplex who prefer to meet remotely.
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