A partnership is treated as a separate entity with respect to

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One of the main advantages of a partnership is that it is seen as a separate entity with its own set of assets and liabilities. This means that partners are not personally liable for business debts, and the partnership can own property, enter into contracts, and take legal action in its own name. However, partnerships are pass-through entities, meaning that profits and losses are passed on to the individual partners and taxed on their personal income tax returns. The partnership itself does not pay income taxes. Partnerships also do not have perpetual existence and can be dissolved upon the death or withdrawal of a partner. Bankruptcy is a legal process that can affect both individual partners and the partnership as a whole.

A Partnership Is Treated as a Separate Entity with Respect