Want to know whether LCC or S Corp is better

[want own biz]

In the state of Virginia

I currently reside in Virginia and have a potential opportunity to begin my own business as an IT consultant/contractor. I would be subbing through another company and it would be working for a government agency.

Having said that, there is also the potential to start working in the state of Maryland for a commercial company, again subbing through another company.

Any idea which path I should go?

 

[Zigner]

That is not a legal question - that is a business question. You should be asking a business consultant...

 

[grizli]

I'm in similar situation as you are, an IT contractor and thinking of registering an organization rather than work as private contractor.
I've been talking to few different people that already successfully passed our stage in life I guess and all suggestions I received is to go with S Corp, rather than LLC in our case. There are different reason as to why and you can read on the on your state's official web-site where they describe in details S Corp and LLC.
However, I want to mention that I base my advice on state of Ohio, but I highly doubt it would be much different.

 

[clueless3]

For an IT contractor, the S Corp is a better choice than the LLC because of the flexibility of tax allocations. This is independent of what state the contractor resides in because the law is Federal law, not State law.