MANAGEMENT

Detailed explanation-1: -Tax burden-incorporating a company brings with greater tax burden. Some types of corporations have the potential to result in “double taxation.” Double taxation occurs when a company is taxed once on profits, and again on the dividends paid to shareholders.

Detailed explanation-2: -Disadvantages of a corporation include it being time-consuming and subject to double taxation, as well as having rigid formalities and protocols to follow. This article is for entrepreneurs who are trying to determine their business structure and whether a corporation makes sense for them.