Research Paper on:
Partnership as a Type of Business Structure

Unformatted Sample Text from the Research Paper:
is an agreement and a tax structure that combine to create a form of business. It represents the middle ground between the sole proprietorship and the corporation in business  form, enabling individuals to preserve the simplicity of the sole proprietorship while also being able to include other individuals in the business. The  partnership itself pays no tax. Instead, its identified partners pay income tax on its activities in accordance to the stated degree of ownership of all the parties involved.  There is no liability protection as in the case of corporate structure, however. Entrepreneurs still need to choose their form of business carefully.  Definition of Business Forms The Sole Proprietorship The sole proprietorship is the business form that many individuals choose for simple, straightforward  businesses in which there is not a great chance of liability issues arising and in which there are not many employees, if any at all. This is the form  of business of part-time entrepreneurs and those with secondary businesses that they operate in addition to jobs they hold as an employee for someone else. It is the hallmark  of the home-based worker in business for himself, in which s/he is the only employee. There are many situations that the sole proprietorship  can serve, and it is the most simple form of business for tax purposes. The sole proprietor pays the full amount of the Social Security contribution required, paid as  a self employment tax. An employee pays only half the total amount required based on his salary; the employer pays the other half. The self employed individual is