Many small individuals start with a sole proprietorship to avoid the costs of forming a corporation or LLC. This can be a wise decision as statistics show that a lot of small businesses generate losses for the first several years. There's a difference between, "gross income," and "taxable income." Revenues is exactly how much you can even make. taxable income is what brand new bases their taxes with. There are plenty of a person can subtract from your gross income to offer you with a lower ta...