The ABC Company was incorporated (as an LLC) two years ago. The success of the company is exceeding the owners' expectations. The land owned by the company is used as a site for special events and parties. The rental income from the events and fees for services rendered at these events are substantial for a new business.
The ABC Company has budgeted a profit of $300,000 for the third year of business operations. To date Don and Jane have not been compensated or withdrawn any funds from the company, but feel that the time has come for them to be rewarded.
Don and Jane turn to you, their tax advisor for assistance in determining how to reward themselves financially from their successful business.
What are the tax issues facing Don and Jane in connection with withdrawing money from the (LLC) corporation? Discuss different options and provide support with computations showing the tax consequences of the various choices.
Should be on MS Word document with citations and APA style.© BrainMass Inc. brainmass.com October 25, 2018, 2:21 am ad1c9bdddf
The ABC Company was incorporated as the Limited Liability Company (LLC) two years ago. The budgeted profit for the year third is $300,000from the business operation. The withdrawal of the money from the LLC may pose various tax issues for Don and Jane. Different types of options are available for the business owners through which they may withdrawal money from ABC Company.
Different Options & Tax Issues
Most commonly three methods are used to withdrawal money from the LLC namely salary, guaranteed payment and distribution. In the general way the earnings of LLC are subjected to self-employment tax purposes regardless the distribution of earnings. Each of the option has some significant tax issues, which may be faced by Don and Jane in connection with withdrawing money from the (LLC) corporation.
Salary - The withdrawal of the money from the ABC Company in the form of salary is the most common option available to Don and Jane. The salary is treated as the compensation for the ...
Tax issues for Don and Jane in withdrawing money is examined.
Quantitative Research on Job Markets
See the attached file.
As a researcher, the mastery of creating well-written and measurable hypotheses, problem statements, and research questions is critical. A grant or project proposal is often won or lost based on the strength of a researcher's skill in this area. This Discussion Board will give you an opportunity to improve your technique while peer reviewing your classmates' proposals. Using the topic from your Unit 1 DB post, select 1 data-collection idea, and write the following:
A quantitative hypothesis and a null hypothesis
Explain why you feel this is an important topic to investigate and why a quantitative method would be appropriate.
A qualitative research question with 3 guiding questions
Explain why you feel this is an important topic to investigate and why a qualitative method would be appropriate.
A summary of ethical responsibilities that align with the selected topic and method
Include three peer review sources.View Full Posting Details