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(D) Explain the tax effect of providing $180,000 per year for the clients salary and $70,000 per year for his daughters salary if they withdraw
(D) Explain the tax effect of providing $180,000 per year for the clients salary and $70,000 per year for his daughters salary if they withdraw cash from the business or pay dividends as appropriate. (E) Justify the percentage of ownership the clients daughter should have in the company in the type of business entity recommended. Consider the tax law about the recommendation and how the decision will affect the daughters tax return.
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