BUS-A 100 Lecture Notes - Lecture 12: Dana Incorporated, Sole Proprietorship, Legal Personality

• School: IU
• Department: Business
• Course: BUS-A 100
• Professor: Winston Vivian

Document Summary

Businesses and individuals are subjected to a wide variety of taxes. Federal taxes are those imposed by the united states government. There are also taxes imposed by states, counties, and cities, but those are beyond the scope of this class. The federal government also imposes taxes on individuals, but in this class, we are only looking at the taxes imposed on businesses in general and corporations in particular. In addition, the federal government imposes a variety of taxes on businesses, but here we are concerned only with the taxes that businesses must pay on their income. There are three basic types of businesses in the united states. The simplest of these is the proprietorship, also called the sole proprietorship. This is a business owned by one individual, and it is not incorporated. In the eyes of the law, there is no legal distinction between the owner (proprietor) and the business.