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Old 03-09-2009, 10:46 AM
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As an S Corporation based in Maryland, if you have no profits, there is no need to take a salary as your business did not have the cash flow to sustain any Wages or Salary to its principal officers or shareholders, which is you!

Also, any additional investments that you have provided to the Corporations are not considered income to your S Corporations, rather they are considered as loans from the shareholders. But, you still will have to file both a Federal 1120 S corporation tax return along with the Maryland S corporation tax return.
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