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Show HUNTER'S SPECIAL 84 clearance on all trucks See us before you buy We do sell for less cTWenlove Dodge toyota The last of the little guys. We do sell tor less! Bountiful 295-3481 . Park City Ski Area's Official Car ... The Hayes Brothers 85 Jeep Sport Wagon Huge Discounts on '84 model CJ7 and Full Size Wagoneers . HAYES BROTHERS B BUCKS JEEP HAYES BROS BUICK JEEP 2280 SO. STATE, S.L.C. 1 800 662-7838 financial planning :i 1 Hi :L tilth KathyEngle MarkHulet Written by HULET& ASSOCIATES Certif ied Public Accountants WHAT'S YOUR BUSINESS FORM? Smart business people periodically review their business form (corporation, partnership, individual) to determine that they are getting the best tax breaks. Changes in the tax laws and in the profitability of your company determine the "form" your business needs. One must weigh the advantages and disadvantages of tax and non-tax factors of a specific form of business. For example, the overall tax cost of operating as a partnership may be less for a particular business than operating as a corporation. On the other hand, a corporation offers several non-tax benefits not available to partnerships. A common complaint of partners and sole-proprietors is that ihey are required to pay income tax on company profits even though they leave the money in the company for expansion. In the corporate form, the corporation pays its own income taxes. However, if the corporation sustains losses, these will be unavailable for the owners to take on their individual tax returns to offset other income. There are two main disadvantages to being incorporated. First, the increase in payroll taxes may be greater than the other benefits to be gained. Second, there is a concern for "double taxation." A corporation must pay taxes on its profits, and when those profits are ultimately distributed to the shareholders, the shareholder will pay taxes on the dividends. With proper planning, small companies can avoid any serious problem with double taxation. A type of "half-way" point between a partnership and a corporation is the "Sub-Chapter S" corporation. This is a legal corporation hich tor income tax purposes has elected to be taxed some hat like a partnership. , HULET& ASSOCIATES Certified Public Accountants 550 MAIN STREET, PARK CITY, UT 645-7390 445 EAST 4500 SOUTH, SLC, UT 261-3459 |