$1.$ Describe how a partnership reports its income for tax purposes. Who makes most elections related to partnership income and deductions? What two theories underlie most partnership tax rules? As an example, contrast the treatment of the business interest expense limitation with the qualified business income deduction. Please be sure to answer each part of the question.

$2.$ Write an e$-$mail to a client describing situations in which the partnership entity form might be more advantageous $($or disadvantageous$)$ than operating as a C corporation. Use subheadings and bullet points to highlight your major thoughts. You may use the following as a template:

Dear Mr$./$Miss Jones,

I am in receipt of your question$($s$)$ about the advantages or disadvantages of operating an entity $($for tax purposes$)$ either as a partnership or a C$-$Corporation. I will bullet my points below for clarity.

Then you may end the email in any professional way you feel appropriate.