what does pc mean attorney

What does PC stand for after an attorney name?

PC. In some states, it isn't uncommon to see the name of a law firm or attorney's office with the letters "PC" after it. PC stands for "professional corporation." Like limited liability companies, corporations and other business structures, professional corporations are legally recognized business entities in some states.

What does PC mean in legal terms?

Apr 21, 2020 · The initials pc after an attorney's name mean typically refers to the business or corporate name of the attorney or their law firm and is short for Professional Corporation and would be similar to a LLC, but a different corporate structure.

What does PC mean after a law firm name?

Mar 28, 2014 · What does the letters PC stand for after and attorneys name? PC stands for Professional Corporation or Professional Company.

What is the meaning of PC in law?

Law PC abbreviation meaning defined here. What does PC stand for in Law? Get the top PC abbreviation related to Law.

What does PC stand for in business?

"PC" after a company's name stands for "professional corporation," a type of corporation used by professionals such as lawyers, accountants and doctors because of the limited liability and tax advantages it provides.

What does the letter PC mean?

The all-cap letters "PC" can stand for many things in our lives. The personal computer became known as a PC shortly after its debut. More recently, being PC has meant being politically correct, or saying what is customarily accepted as the "right" thing to say to avoid offending anyone regardless of what you might want to say. However, when you see the letters "PC" with lawyers' names, other professionals' names or after a company's name, the "PC" meaning is clear: professional corporation.

How are PCs taxed?

PCs are taxed in a way that comes with both advantages and disadvantages. For example, PC employees have higher contribution limits on retirement plans. PCs can provide health and life insurance benefits tax free and can receive deductions for additional benefits like disability insurance.

What is a PC after a name?

Understanding "PC" After a Name. A professional corporation, abbreviated as "PC" after a company’s name, is a type of corporation often seen in professions where highly educated people provide services to those who need their expertise, such as accountants, lawyers, doctors, architects, consultants and other professionals.

Does PC cover all liability?

Designed specifically to give some protection from liability to professionals such as doctors, lawyers, architects and others, "PC" does not excuse all liability — it still holds professionals accountable for their own actions.

Can a doctor in a solo practice and a PC of doctors join an LLC?

So, a doctor in a solo practice and a PC of doctors could join an LLC that has other doctor members as well. A disadvantage, however, is that members of an LLC are generally required to carry a high level of malpractice insurance.

Is PC a legal entity?

Many people see "PC" after a group of lawyers’ names, and therefore they assume a PC company is a legal term or is related to lawyers. It is a legal term in the sense that a professional corporation is a legal entity that provides professionals with certain tax and legal advantages. However, professional corporations are not only for lawyers;

What is a PC for lawyers?

Unlike a regular corporation, a PC for lawyers requires that each director, shareholder and officer be licensed to practice law. Further the legal PC may only provide services in its field.

What is a PC in business?

A PC is much more formal, as operating decisions often require director approval and votes of shareholders. As with any corporation, you must hold shareholder and director meetings, keep records and minute books.

What are the advantages of an LLC vs a PC?

One of the key benefits of a LLP or an LLC compared to a PC is flexibility. Each partner has the right to manage the business entity and make decisions about daily business operations. The basic governing structure is a partnership agreement, which doesn't even have to be written. However, individual states have statutes which will address certain aspects of the business, if there is no written agreement in place. So, if there is no written agreement or the agreement doesn't address particular issues, the LLP or LLC will be subject to the gap-filling provisions in their states' business code.

What is the difference between a PC and an LLC?

There's a huge tax difference between a PC and a LLP or an LLC. A professional corporation is a business entity that must pay income taxes for the corporation itself, which may result in double taxation. However, with an LLP or LLC, the member pays individual taxes, not the entity itself.

Why do lawyers need a formal business structure?

The key reasons to have a formal business structure is for liability protection and tax considerations. None of the business organization structures will protect an attorney from personal liability for professional malpractice, personal loan guarantees, or intentional torts.

What is professional corporation?

A professional corporation is a product of state laws which provide detailed provisions on what the corporation can and cannot do. A corporation should have its own set of by-laws and agreements that dictate the responsibilities and conduct of the corporation, its directors, and shareholders.

Do you need articles of incorporation for a PC?

The formation of a PC requires articles of incorporation be filed along with the applicable fees with your secretary of state. There are also annual filings as dictated by state law. The articles should state:

Why do people form a corporation?

This is the main reason professionals form this type of corporation. They can enjoy sharing management responsibilities and profits without exposing themselves to malpractice actions against the other business owners. A regular corporation may leave the whole organization exposed to liability for the actions of any one individual.

What is a business attorney?

A business attorney can also answer many of the questions you may have about setup and liability for business in your area. They can also make any requirements from a board of directors to stock shares and more.

What professions use a PC?

Generally speaking, they include accountants, engineers, healthcare professionals, lawyers, psychologists, social workers, and veterinarians. Typically, each individual organization limits their membership to one profession or grouping of professions.

Can a corporation leave the whole organization exposed to liability?

They can enjoy sharing management responsibilities and profits without exposing themselves to malpractice actions against the other business owners. A regular corporation may leave the whole organization exposed to liability for the actions of any one individual.

Is a professional corporation necessary?

A professional corporation status can be essential in some business models. If state laws allow you to register your business corporation accordingly, it could eliminate many hassles. Each situation has to be evaluated individually, though.

Can a group of doctors form a professional corporation?

For example, a group of doctors who have their individual medical practice can form a professional corporation if their business is to practice medicine.

Who is required to incorporate as a professional corporation?

The list of professionals required to incorporate as a professional corporation, or personal services corporation, is given below: health care professionals (audiologists, dentists, nurses, opticians, optometrists, pharmacists, physical therapists, physicians, and speech pathologists) Of course, this is a general list.

What is a PC?

A professional corporation or PC is one variation of a corporation. Licensed professionals who want to incorporate their practice can form a PC.

What professions are required to form a PC?

The following are often required to form a PC: Accountants. Attorneys. Engineers.

What is LLC in business?

A limited liability company or LLC is a legal entity that combines the limited liability protection of a corporation with the tax benefits of a partnership.

What is a PLLC in California?

In a PLLC, the members and managers must be licensed to practice the same profession. In California, licensed professionals are limited to forming a sole proprietorship, general partnership, or professional corporation (PC).

Can creditors come after personal assets?

Both limit an owner's personal liability for business debts and claims to business assets, and creditors cannot come after personal assets. Neither protects you against personal liability for your own malpractice, negligence, or personal wrongdoing. Malpractice protection is often why professionals file as a PC to avoid financial liability for ...

Can an accountant be a PC?

Accountants. Attorneys. Engineers. Medical doctors. Veterinarians. There are exceptions. Some states give professionals a choice between incorporating as a PC or as a regular corporation. In all states, certain professionals— again, check your state statutes —have the option to form a PC.

What is a PLLC and PC?

A PLLC and a PC will both provide an additional layer of protection against malpractice suits arising from actions taken by other owners of the company for a professional service. Note that this doesn’t mean an individual is shielded from malpractice due to their own actions or negligence, rather they would only be responsible for their own suits and not those to be taken up against another shareholder.

Why are LLCs so popular?

LLCs are popular among small business owners because they are relatively simple to set up and require little paperwork to maintain. Corporations, on the other hand, have a much higher administrative burden and regulations they need to abide by.

What is LLC pass through?

In terms of tax advantages and tax law, an LLC has the flexibility to go with the default, which is “pass through” taxation, S-Corp. designation, which is also “pass through” and comes with some other restriction, or C-Corp. taxation where you pay corporate tax.

Is a C corporation a S corporation?

Corporations default to C-Corp. taxation when they are formed. This means that they are considered a taxpaying entity and pay corporate tax on income. This income is then paid out to shareholders who need to pay taxes again on their personal income. For this reason, many small business owners opt to convert an to S-Corp. instead. Professional Corporations can also elect to be classified as an S-Corp.

Is a PC a corporation?

Similar to how the PLLC is analogous to the LLC, a PC is in many ways similar to a standard corporation. The main difference being, again, that professionals cannot operate as regular corporations and only professionals can be shareholders in a PC.

Can an LLC be a sole proprietorship?

An LLC can be opened by pretty much anyone who wants to run a business and protect their personal assets. This is what is meant by the term limited personal liability and the main reason people who start off as sole proprietors or in partnerships choose to incorporate.