4304a866_tion_vs_LLP_vs_Sole_Proprietor__3
[0] Income Tax Treatment [1] The corporation is taxed as a separate entity. Shareholders are taxed on dividends if the company distributes dividends. [2] Corporate profits and losses are passed through to the shareholders. [4] Profits and losses are passed through to partners as per the agreement. [5] Profits and losses are passed through to business owner’s personal tax return. [3] 
Taxed according to the IRS classification chosen.
LLC vs Corporation vs LLP vs Sole Proprietor
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