Do HomeworkAbby NeffMozilla Firefox https tudentPlayerHomewo

Do Homework-Abby Neff-Mozilla Firefox https/ tudentPlayerHomeworkaspx?homeworkid,465037816&questorld;\"18fushed:false&de-; 120% SAM 3100 Online Spring 2017-2018 Abby Neff 1 1/17/18 7:4 Homework: Chapter 1 Save Homework Score: 0 of 1 pt P 1-1 (book/static) 2of18 (1 complete) Hw score: 5.56%, 1 of Question Help What is the most important difference between a corporation and al other organizational forms? (Select all the choices that apply ) A An mportant difference among the types of corporate organzational forms is the way they are taxed Shareholders of a B An import nt di erence among the types of corporate organiza onal forms s the way they are ta ud Shareholders of a c. This system is sometimes referred to as duble taxation corporation pay taxes twice corporation pay taxes three times This system D. sometimes referred to ans trpio taxation Click to select your answer(s) and then click Check Answer Clear All Check Answer 4- 5 6 8 0

Solution

The most important difference between a corporation and all other organizational forms are:

A. An important difference among the types of corporate organizational forms is the way they are taxed. Shareholders of a corporation pay taxes twice.

C. This system is sometimes referred to as double taxation.

Due to separate legal entity concept an organisation is considered separate from its owners that is shareholders and thus the income is taxed in both hands in case of corporation. Since same income is getting taxed twice it is known as double taxation.