Startups and small businesses in the United States organized as &quot;S corporations&quot; also pay zero taxes, and the qualification rules are a lot more permissive.<p>To be a United States S corp the rules are:<p>1) Number of shareholders &lt;= 100<p>2) All shareholders are humans and U.S. residents<p>3) There is only one class of stock<p>For more, see: <a href="https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;S_corporation" rel="nofollow">https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;S_corporation</a>