S corporation

(LIT1 Task 1) Sole Proprietorship: This is a type of business is where the business and the owner are one in the same. Sole proprietorship has its advantages and disadvantages just like every form of business. Sole proprietorship is one of the easiest types of business to create. You as the owner can name, organize and carry the business as far as you dream of it going. Sole proprietorship also can have risks; as the owner you cannot bring others into the business, so the responsibility of

• LONGEVITY- A C-corporation life is potentially unlimited. The C-corp company could exist if it can continue to make a profit and cover all of the debt. If a shareholder dies or leaves the company it will not automatically lead to the dissolving of the business. The shareholders

LIT 1 Task 1 Part A Joshua Carney Western Governors University WGU Student ID #000336183 SOLE PROPRIETORSHIP: A sole proprietorship is a business that is unincorporated and owned by a single person. A sole proprietorship is the simplest of the business organizations, allows freedom to the proprietor, they get to keep all of the profits, allows for taxing as a single unit and can enjoy a tax advantage of reducing taxable income due to business expenses. Some disadvantages of a

“excessive pay, perks, and golden parachutes”(Carson 392) at the expense of all stakeholders. All is not lost, there are corporations that pride themselves in their sound business model and commitment to ethical business practices. Such companies as Eaton Corporation, and Weyerhaeuser, who according to Ethisphere.com, a business ethics watchdog, are among the “2010 World`s most ethical companies.” (Ethisphere) Substandard working conditions in the less developed world are usually described as

a business entity that is not aligned with your particular business model can in many cases lead to several problems that can be potentially very costly. The four most common business entities are a sole proprietorship, partnership, LLC, and a corporation. Knowing which business entity is best for your new business venture can determine the future success of your company. Sole Proprietorship

individual(s) will depend on their particular facts and circumstances. You are a valued colleague and friend of this trio, and they have come to you seeking advice as to how to structure their new business. Please consider the following tax and nontax issues as you recommend

investments into the company. The burden of running the business falls on the general partner. Regular C Corporation 1. Liability * The liability does not fall on one individual instead it is assumed by the business in a corporation. Individuals representing the company can still be personally sued in some states. 2. Income taxes * Taxes are paid through the corporation on a corporate tax return. It is separate from the owner’s income taxes, commonly referred to as shareholders

structure your business, you'll need to know what your options are. The below are your choices when it comes to running your business: sole proprietorship, partnership, limited partnership, limited liability company (LLC), corporation (for-profit), nonprofit corporation, and cooperative. It is important that you choose the right structure for your business as the type of structure you choose will affect how your business is organized, taxed, and handled. Sole Proprietorship A sole proprietorship

recommended). The filing will be done with the IRS in the state which the business is formed. Articles of Incorporation would be filed with the state, and the owners would apply for a federal ID number. They would then file form 8832 and choose S corporation status. The company would then file as Company X, LLC, but would file an 1120S each year, which is the corporate tax return and is prepared for each individual shareholder and identifies the percentage of company shares owned by the individual

opportunities attached to it. Synergetic Risk Assurance Corporation will assist business owners with risk and compliance within the added controls for the information technology area. S Corpaoration Best Fit Synergetic Risk Assurance Corporation will be S Corporation with the company offering Internal Auditing, Compliance and Risk Management. The S Corpaoration was chosen due to the small number of employees and shareholders, it is a domestic corporation, no enterprise or coroprations