EFB210 : Revision.pdf

In a sole proprietorship, the profits earned by the business are:

 

A. taxed as income for the business, but exempt from the personal income tax paid by the owner.

 

B. taxed at the lowest corporate rate.

 

C. the property of the owner, except for taxes owed to the government.

 

D. tax-free if the appropriate exemption is filed with the local government.