Discussion – Taxing and Business Structures

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I need an explanation for this Business question to help me study.

Each type of business entity is affected by taxation. However, tax rates vary among the many different types of company structures, such as traditional C corporations, S Corporations, partnerships, and LLC. For example, corporations are generally taxed at higher tax rates than sole proprietors.

Respond to the following in a minimum of 250 words for each question: 

  • Explain the differences in taxing of four different types of organizations. provide examples
  • If you were going into business and had a choice of business structures to select from that would minimize your taxes, while yielding the highest profits, which would you choose and why? provide examples.
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