w$-$through

$$entities$,$ such as

$$

are required to pay income taxes on their taxable income.

$$

Flow$-$through

Taxpaying

$$entities$,$ such as

$$

individuals and C corporations,

individuals and S corporations,

sole proprietorships, partnerships, C corporations and certain trusts,

sole proprietorships, partnerships, S corporations, LLCs$,$ LLPs$,$ and certain trusts,

generally do not directly pay income taxes on their taxable income but merely pass the income on to a

$$

flow$-$through

taxpaying

entity.