For Federal income tax purposes, a business entity with two or more owners may be conducted as a partnership, C
corporation, S corporation, or limited liability company.

Question

Quizplus · Accepted Answer

A business entity with two or more owners can indeed choose to operate as a partnership, C corporation, S corporation, or limited liability company (LLC), each with its own tax implications and filing requirements under U.S. federal income tax law.

For Federal Income Tax Purposes, a Business Entity with Two