JK Lasser's Small Business Taxes
Chapter One
Business
Organization
If you have a great idea for a product or a business and are eager to get
started, do not let your enthusiasm be the reason you get off on the wrong
foot. Take a while to consider how you will organize your business. The form of
organization your business takes controls how income and deductions are reported
to the government on a tax return. Sometimes you have a choice of the
type of business organization; other times circumstances limit your choice. If
you have not yet set up your business and do have a choice, this discussion will
influence your decision on business organization. If you have already set up
your business, you may want to consider changing to another form of organization.
In this chapter you will learn about:
Sole proprietorships (including independent contractors)
Partnerships and limited liability companies
S corporations and their shareholder-employees
C corporations and their shareholder-employees
Employees
Factors in choosing your form of business organization
Forms of business organization compared
Changing your form of business
For a further discussi ... read full excerpt from JK Lasser's TM Small Business Taxes: Your Complete Guide to a Better Bottom Line ebook
