Match each of the following terms with the appropriate definitions.
-A corporation with 100 or fewer stockholders that can elect to be treated as a partnership for income tax purposes but retain the same limited liability as other corporations.

Question

Quizplus · Accepted Answer

An S corporation is a special type of corporation created through an IRS tax election. It allows a corporation with 100 or fewer shareholders to benefit from the tax structure of a partnership, meaning income is taxed at the individual level rather than at the corporate level, while still retaining the limited liability protections of a corporation.

Match Each of the Following Terms with the Appropriate Definitions