O. Jason and Robert are planning to open a furniture and home wares store with two employees. The projected turnover will be $200,000. Jason and Robert seek advice from you

in relation to the advantages and disadvantages of conducting their business through a partnership or a company. Provide three advantages and three disadvantages from a tax perspective for choosing either a partnership or a company as their organisational entity. Provide organisational policy reasons and support your answers by citing relevant tax legislation, where applicable.