2.) Define pass-through taxation. What business entitieshave pass-through taxation?3.) What is the benefit of...2.)...

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Accounting

2.) Define pass-through taxation. What business entitieshave pass-through taxation?
3.) What is the benefit of a corporation electing to betaxed as a S-corporation? What are the limitations of a companymaking this election.
4.) What factors affect the tax treatment ofcorporate distributions?
5.) A corporation currently has income solely generatedwithin the United States. However, next year the corporation plansto extend into foreign markets. What tax issues mayarise?

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2 A passthrough entity is a special business structure that is used to reduce the effects of double taxation Passthrough entities dont pay income taxes at the corporate level Instead corporate income is allocated among the owners and income taxes are only levied at the individual owners level Passthrough taxation refers to how individual owners of a business pay taxes on incomederived from that business on their personal income tax returns Pass through taxation applies to sole proprietorships partnerships and SCorporations 3 Benefit of a corporation electing to be taxed as a Scorporation are Limited liability for management and shareholders An See Answer

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In: Accounting2.) Define pass-through taxation. What business entitieshave pass-through taxation?3.) What is the benefit of...2.) Define pass-through taxation. What business entitieshave pass-through taxation?3.) What is the benefit of a corporation electing to betaxed as a S-corporation? What are the limitations of a companymaking this election.4.) What factors affect the tax treatment ofcorporate distributions?5.) A corporation currently has income solely generatedwithin the United States. However, next year the corporation plansto extend into foreign markets. What tax issues mayarise?