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Many small individuals start with a sole proprietorship keep clear of the costs of forming a corporation or LLC. This is a wise decision as statistics show that many small businesses generate losses for the first several years.

In fact, this column was inspired by an innovative York Times article that ran last week, arguing that generous tipping "is a technique that is guaranteed to no influence on your transfer pricing operation." (1) Then why does the person being tipped pay in taxes?

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Conversely, earned income abroad, and passive income from foreign securities, rental, or other suggestions abroad, could be excluded from U.S. taxable income, or foreign taxes paid thereon, used as credits against You.S. taxes due.

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Copyright 2010 by RioneX IP Group LLC. All rights set-aside. This material may be freely copied and distributed subject to inclusion within this copyright notice, author information and all of the hyperlinks are kept undamaged.

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