? Jason and James have been running JJ Asian Cuisine as a partnership structure. They both recently
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Jason and James have been running JJ Asian Cuisine as a partnership structure. They both recently graduated from the university. Jason is happy to continue running the business full time but James is offered a graduate position at PWC so he has accepted the job offer. He negotiated with Jason to reduce the distribution of his part of the partnership business profit to be 30% only, rather than 50% as previous because he no longer can contribute as much time to the business. Please explain to James: А. Two disadvantages of reducing his time in the running of the business. В. How will James' income be taxed? Jason and James have been running JJ Asian Cuisine as a partnership structure. They both recently graduated from the university. Jason is happy to continue running the business full time but James is offered a graduate position at PWC so he has accepted the job offer. He negotiated with Jason to reduce the distribution of his part of the partnership business profit to be 30% only, rather than 50% as previous because he no longer can contribute as much time to the business. Please explain to James: А. Two disadvantages of reducing his time in the running of the business. В. How will James' income be taxed?
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Answer A Two disadvantages of reducing time in running of the business 1 Reduced market inf... View the full answer
Related Book For
South Western Federal Taxation 2015 Essentials of Taxation Individuals and Business Entities
ISBN: 9781285438290
18th edition
Authors: James Smith, William Raabe, David Maloney, James Young
Posted Date:
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