The loss of these S corp advantages don’t go unanswered. After the passing of tax law in 2017, commonly referred to as the Tax Cuts and Jobs Act (TCJA), the C corp tax rate reduced to 21%—in comparison to the top individual rate of 37% (or 29.6% if the taxpayer receives the full benefit of the QBI deduction).
C corp can also deduct all state taxes, whereas state taxes paid by individuals related to S corp earnings are capped at $10,000 on their itemized deductions unless earnings are from states that allow the S corp to take a deduction, which requires an election and not all states have this opportunity.
C corps can also have unlimited owners with no restrictions on the types of owners allowed. This can make raising capital easier.