Why is it generally preferable to increase salaries, interest, or rental payments to employee-shareholders in a closely

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Why is it generally preferable to increase salaries, interest, or rental payments to employee-shareholders in a closely held corporation rather than increase dividends?

Corporation
A Corporation is a legal form of business that is separate from its owner. In other words, a corporation is a business or organization formed by a group of people, and its right and liabilities separate from those of the individuals involved. It may...
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Federal Taxation 2017 Individuals

ISBN: 9780134420868

30th Edition

Authors: Thomas R. Pope, Timothy J. Rupert, Kenneth E. Anderson

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