Hudson and Elsa want to market a new line of kayaks and related gear under the brand name Journeys as a corporation-Journeys Inc. To avoid income taxes at the corporate level,they should form

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An S corporation is a type of corporation that avoids the double taxation issue that arises with traditional corporations, where the corporation's profits are taxed at the corporate level and then again when distributed to shareholders as dividends or capital gains. Instead, an S corporation passes its income, deductions, and tax credits through to the shareholders, who report this on their personal tax returns, and therefore, avoid corporate income taxes. This would be the most appropriate option for Hudson and Elsa's new business venture under the brand name Journeys Inc.

Hudson and Elsa Want to Market a New Line of Kayaks