This form of ownership is the same as a corporation in terms of legal characteristics even though Congress is considering legislation that would further simplify its formation and running.Its distinction from a corporation is made for federal income tax purposes only.
A)S-corporation
B)master limited partnership
C)sole proprietorship
D)limited liability company

Question

Quizplus · Accepted Answer

An S-corporation is similar to a corporation in legal characteristics but is distinguished for federal income tax purposes, allowing income to pass through to shareholders to avoid double taxation.

This Form of Ownership Is the Same as a Corporation