[Brilliant]

So what? If it’s immediately passed thru then it’s taxed to the owner on his personal return.

[dynoman]

And therefore there is no double tax on the same income. Which was the point.

[Lurking Libertarian]

So what? If it’s immediately passed thru then it’s taxed to the owner on his personal return.

That used to be the law. The new law taxes only 80% of what's passed through. The other 20% is not taxed at any level, corporate or individual.

[Cvengr]

Yes, but it isn’t taxed at the highest rate, twice.

In other words, a small business with few employees always had the risk of being unable to pay the working owner a fair wage. Lots of small business owners would essentially work for free for several years bwfore they could receive a simple paycheck.

So they paid themselves by living off the company.

This, if true, is a very intelligent change in the tax code.

[editor-surveyor]

.
IOW, its nothing new.