Most US businesses are primarily sole proprietorships and partnerships. But, the prime reason why sole proprietorships are so common is the “moonlighting” that is part of many an American’s life. Once that classification is removed from the totals, the situation is dramatically different. Partnerships (and LLC- limited liability corporations, which are usually taxed as partnerships)- both privately held and syndicated (widely held entities, with access to capital markets [i.e.,Wall Street])- are the primary business structure for US businesses.
Today, I am going to talk about taxes- but for the small business owner. Like it or not, taxes are going to go up- not for everyone, but small business is a ripe target. Part of the reason is that small business- just like big business- has found ways (or paid advisors to find ways) to pay the minimum amount of axes required.