Assume You Plan to Start a New Enterprise; You Know

Multiple Choice

Assume you plan to start a new enterprise; you know the probability of having losses for the first three years of operations is almost 90 percent, and you know you will report a substantial amount of income from other sources during those same three years.From a tax perspective, which of the following entity choices would not allow you to offset the entity losses against your income from other sources?

A) C corporation.
B) LLC.
C) General partnership.
D) S corporation.