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Joey and Robin are starting a new business, JR Enterprises, as equal owners. They both have substantial basis in their ownership interests and are actively
Joey and Robin are starting a new business, JR Enterprises, as equal owners. They both have substantial basis in their ownership interests and are actively involved in the operations of the business. They anticipate having start-up losses ranging from $100,000 to $150,000 per year for the first few years, and do not expect the business to start being profitable for several years. Joey and Robin both have other sources of business income. What entity type would be the most advantageous for tax purposes for Joey and Robin? A. S corporation or partnership B. Partnership only C. S corporation only D. C corporation only
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