J.B. would like to organize OBX as either an LLC or as a corporation (taxed as a C corporation) generating a 12 percent annual before-tax return on a $300,000 investment. Assume the relevant (marginal) individual tax rate is 37% and corporate tax rate is 21%. J.B.'s capital gain and dividends tax rate is 20% (ignore the net investment income surtax of 3.8% and the additional Medicare tax of 0.9%). OBX will pay out its after-tax earnings every year to either its members or its shareholders. a. b. Assume that J.B. has earned income in excess of the annual Social Security wage limit, so his self-employment tax rate is 2.9%. How much would J.B. keep after taxes if OBX is organized as either an LLC or a corporation (taxed as a C corporation)? (10 points) Ignoring self-employment taxes, what are the effective tax rates (combined owner and entity level) if OBX is organized as either an LLC or a corporation (taxed as a C corporation)? (10 points) J.B. would like to organize OBX as either an LLC or as a corporation (taxed as a C corporation) generating a 12 percent annual before-tax return on a $300,000 investment. Assume the relevant (marginal) individual tax rate is 37% and corporate tax rate is 21%. J.B.'s capital gain and dividends tax rate is 20% (ignore the net investment income surtax of 3.8% and the additional Medicare tax of 0.9%). OBX will pay out its after-tax earnings every year to either its members or its shareholders. a. b. Assume that J.B. has earned income in excess of the annual Social Security wage limit, so his self-employment tax rate is 2.9%. How much would J.B. keep after taxes if OBX is organized as either an LLC or a corporation (taxed as a C corporation)? (10 points) Ignoring self-employment taxes, what are the effective tax rates (combined owner and entity level) if OBX is organized as either an LLC or a corporation (taxed as a C corporation)? (10 points)