1. Your client comes to you and tells you she wants to start a new business. She said that she has read that being taxed as a partnership is the way to go, but is not sure why. What are the benefits of being taxed as a partnership? Do you agree with her assessment?She is not sure what type of partnership her business should be.

1a) She has two businesses that her and her partners want to start and they want them in separate entities. The first businesses has very little risk and therefore will not be subject to much, if any, liability. The other business has a large amount or risk due to the nature of the business. What type of partnerships should these two businesses be?