BUSI 561 Lecture Notes - Lecture 4: Double Taxation, S Corporation
Document Summary
You have done a great job on detailing on betty"s options on her business legal formations. I enjoy reading the information that have provided on partnership and llc. Partnership in certain extend is exactly like a marriage of two sole proprietorships and enter into a new trade. After forming a partnership, the partners still have to consider should they operate the business under a jointed proprietorship or they should incorporate their partnerships. Many professional practices such as law firms are operate under the form of partnership but protect the partners" personal liabilities by incorporate their partnerships. Limited liability companies, llc are in a certain extends like corporation without the double taxations like most corporations are having. However, if forming the corporation under the s corporation, betty can avoid the double taxation treatment by the irs. Again, great job and good luck to you!