Davy Jones, a new tax client, walks into your office and informs you that he owns a charter fishing business. Jones is curious about the different legal structures (business forms) that are available for his business, including the sole proprietorship, partnership, S corporations, and C corporations.
Prepare a memorandum for Jones (and post it to the discussion forum) providing an overview of these 4 business forms.
Provide an explanation of the advantages and disadvantages of each business form, including a discussion on how the IRS collects income tax from each.
In your discussion on taxation, include the form names and numbers used for each business in reporting income to the Internal Revenue Service.
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