question is to match the different chat between left and right accoring to the definition

o correct definition in the The Federal income tax treatment of business income usually follows the legal form of the taxpayer an individual's sole proprietorship is reported on the Form 1040): a corporation's table income is computed on Form 1120. The check-the-box Regulations are used if the incorporated taxpaye wants to use a different tax regime. Under these rules, a disregarded entity stated as an individual or a corporate disregarded entity Disregarded entity A deduction allowed for noncorporate taxpayers based on the qualified business income of a qualified trade or business. In general, the deduction is limited to the lesser of 20 percent of qualified business income 20 percent of taxable income before the qualified business income deduction less any net capital gain There are three limitations on the deduction an overal limitation based on modified table income another that applies to high-income taxpayers, and a third that applies to certain types of services businesses. 5 199A Deduction for qualified business income A legal entity in which all owners are protected from the entity's debts but which may lack other characteristics of a corporation de centralized management, unlimited life, free transferability of interests). Los are treated as partnerships (or disregarded entities if they have only one owner) for the Limited liability company (LLC) A separate taxable entity subject to the rules of Subchapter of the code. This business form may create a double taxation effect relative to its shareholders. The entity is subject to the regular corporate tax anda number of penalty taxes at the Federal level By using the check-the-box rules prudently, an entity can select the most attractive tax results offered by the Code, without being bound by legal forms. By default, an unincorporated entity with more than one owner is taxed as a partnership an unincorporated entity with one owner is a disregarded entity and as a sole proprietorship or corporate division. No action is necessary by the taxpayer of the legal form or default status is desired. Form 8832 is used to check a box and change the tax status. Not valable if the entity is incorporated under state law. o correct definition in the The Federal income tax treatment of business income usually follows the legal form of the taxpayer an individual's sole proprietorship is reported on the Form 1040): a corporation's table income is computed on Form 1120. The check-the-box Regulations are used if the incorporated taxpaye wants to use a different tax regime. Under these rules, a disregarded entity stated as an individual or a corporate disregarded entity Disregarded entity A deduction allowed for noncorporate taxpayers based on the qualified business income of a qualified trade or business. In general, the deduction is limited to the lesser of 20 percent of qualified business income 20 percent of taxable income before the qualified business income deduction less any net capital gain There are three limitations on the deduction an overal limitation based on modified table income another that applies to high-income taxpayers, and a third that applies to certain types of services businesses. 5 199A Deduction for qualified business income A legal entity in which all owners are protected from the entity's debts but which may lack other characteristics of a corporation de centralized management, unlimited life, free transferability of interests). Los are treated as partnerships (or disregarded entities if they have only one owner) for the Limited liability company (LLC) A separate taxable entity subject to the rules of Subchapter of the code. This business form may create a double taxation effect relative to its shareholders. The entity is subject to the regular corporate tax anda number of penalty taxes at the Federal level By using the check-the-box rules prudently, an entity can select the most attractive tax results offered by the Code, without being bound by legal forms. By default, an unincorporated entity with more than one owner is taxed as a partnership an unincorporated entity with one owner is a disregarded entity and as a sole proprietorship or corporate division. No action is necessary by the taxpayer of the legal form or default status is desired. Form 8832 is used to check a box and change the tax status. Not valable if the entity is incorporated under state law