Fill in the grid below with simple one or two word answers. examples are listed and the first column is completed for an example.
limited "s" "c"
characteristic proprietorship partnership partnership llc llp corp. corp.
liability personal
(personal, company only, depends)
taxation personal
(personal, company/double)
ease of outside fund raising harder
(easier/harder)
set up and governance very easy
(easier/cheaper - harder/expensive)
typical users one person
(company size or type)
2. complete the grid below to understand the tax implications of these types of organizations.
limited "s" "c"
taxes proprietorship partnership partnership llc llp corp. corp.
net income before taxes 100,000 100,000 100,000 100,000 100,000 100,000 100,000
corporate tax rate @ 39% 0% 0% 0% 0% 0% 0% 0%
corporate taxes paid - - - - - - -
net income before taxes 100,000 100,000 100,000 100,000 100,000 100,000 100,000
personal income tax rate @ 20% 0% 0% 0% 0% 0% 0% 0%
personal taxes paid - - - - - - -
total taxes paid