Lawyers, accountants, and even veterinarians can all be considered personal services corporations. Under personal services corporations, the entire business is situated around providing a service to individuals or businesses. Often, a personal services corporation is a sole proprietor or some form of partnership, and either way, the majority of the services will be provided by the owners.
Personal services corporations may still need to hire employees, and if it does so, the personal service corporation will need an Employer Identification Number. If the corporation doesn’t hire employees and only has a single owner, it may fall under a schedule C proprietorship, and consequently wouldn’t need to have an EIN (also known as a taxpayer identification number). But most personal services corporations are going to need an EIN/taxpayer identification number to distinguish themselves as a unique entity. Personal service corporations will be taxed at the corporation tax rate. There are special rules that govern employee-ownership of a personal services corporation, so those setting one up should consult with an attorney.