24. What is a Pass-Through Entity? LLC's can be taxed in one of four ways: Disregarded, Partnership, S-Corp or C-Corp. Of these 4, what is a "pass-through entity" and how does it work? The quick answer is "pass-through entity" means the profits and losses of the company flow through to the owners for tax purposes. Disregarded, Partnership and S-Corporation tax treatment does this. C-Corporation tax treatment does not. Want to know more? Read a blog article on the topic of Tax Status for Companie
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