Hudson and Ilka 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 allows the company's income, losses, deductions, and credits to be passed through to the shareholders' personal tax returns. This means that the company itself is not taxed at the corporate level, avoiding double taxation. The maximum number of shareholders for an S corporation is 100, and they must all be U.S. citizens or residents. Given that Hudson and Ilka want to avoid income taxes at the corporate level, an S corporation would be the best choice for them, since they can still enjoy the benefits of a corporation while avoiding double taxation.

Hudson and Ilka Want to Market a New Line of Kayaks