Research Problem 7.

Many newly created businesses are established using a tax status that avoids the double tax that applies to C corporations and their
owners. Calculate the percentage of entities that filed income tax returns as C corporations (Form 1120), S corporations (Form 1120S), and partnerships and
other flow-through entities (Form 706) for the most recent year for which data are available. Use data from the IRS Tax Statistics as the basis for your
calculations. Compare your findings with comparable percentages for the third and fifth prior years. Using a spreadsheet software such as Microsoft Excel,
create graphs that illustrate the results of your research. Be sure the graphs have proper labels and explanations.

Entity 2010 TY 2012 TY 2015 TY Entity 2010 TY 2012 TY 2015 TY

C Corporation 1,671,149 1,617,739 1,611,236 C Corporation 18.44086307% 17.52814002% 16.38308724%
S Corporation 4,127,554 4,205,452 4,487,336 S Corporation 45.54690105% 45.56591113% 45.62734271%
Partnership 3,248,481 3,388,561 3,715,187 Partnership 35.84647050% 36.71492848% 37.77611271%
RIC and REIT 15,022 17,630 20,993 RIC and REIT 0.001657654% 0.019102037% 0.021345734%
Total # of Filings per Year 9,062,206 9,229,382 9,834,752 100% 100% 100%

# of Filings per Year % of Filings per Year

5,000,000 50.00000000%
4,500,000 45.00000000%
4,000,000 40.00000000%
3,500,000 35.00000000%
3,000,000 30.00000000%

% of Filings
# of Filings

2,500,000 25.00000000%
2,000,000 20.00000000%
1,500,000 15.00000000%
1,000,000 10.00000000%
500,000 5.00000000%
- 0.00000000%
C Corporation S Corporation Partnership RIC and REIT C Corporation S Corporation Partnership RIC and REIT