President Obama’s fiscal year 2015 budget proposes to increase taxes on individuals by over $820 billion and on businesses by about $500 billion, for a total of over $1.3 trillion in new taxes over the next ten years....
- The Tax Policy Blog
- The U.S. Has More Individually Owned Businesses than Corporations
The U.S. Has More Individually Owned Businesses than Corporations
What sets the entrepreneurial middle class apart from other taxpayers is that they derive a large share of their overall earnings from pass-through businesses such as S corporations, LLCs, and partnerships. These pass-through business owners pay their business taxes on their individual tax returns. Since the 1980s, the number of traditional C corporations has shrunk while the total number of pass-through businesses such as S corporations, partnerships, and sole proprietorships has tripled to over 30 million in total. Today, there are 1.7 million traditional C corporations, compared to 7.4 million partnerships and S corporations, and 23 million sole proprietorships.
For more charts like the one below, see the second edition of our chart book, Putting a Face on America's Tax Returns.
Buy this blogger a cup of coffee!
Join the Tax Foundation's fight for sound tax policy Go
About the Tax Policy Blog
The Tax Policy Blog is the official weblog of the Tax Foundation, a non-partisan, non-profit research organization that has monitored tax policy at the federal, state and local levels since 1937. Our economists welcome your feedback. If you would like to send an e-mail to the author of a blog post, please click on that person's name to locate his or her e-mail address or visit our staff page here.