Computation of Expenditures and Corporate's Taxable Income

Discussion
Name
Institution Affiliation
Date
Following our consultation with Barbara, there are a few things I'd like to propose to help her succeed in her new venture. First, Barbara has opted to form a corporation, which implies the company is a legal entity that will be taxed accordingly. Thus, Barbara can be repaid for any costs she spent out of her own pocket due to travel, entertainment, and other business expenses (Slemrod & Kopczuk, 2018). Second, Barbara's revenue from the firm is not direct income but rather services Barbara performed as a corporate employee, allowing her to submit an invoice for her services. Third, to ensure that there is no balloon payment for taxes at the end of the year, the tax should be paid under the trimestral tax scheme. A corporation...