flow-through entity

noun

US
: pass-through entity
Since most entrepreneurs use a flow-through entity, such as a partnership or S corporation for their business, every dollar of deduction actually reduces your personal income tax.Tom Wheelwright

Examples of flow-through entity in a Sentence

Recent Examples on the Web
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This change introduces new reporting requirements, particularly affecting flow-through entities such as trusts and estates. Matthew Erskine, Forbes, 28 Mar. 2024 Conclusion The March 2024 revision of IRS Form W-9 introduces significant changes for flow-through entities, including trusts and estates. Matthew Erskine, Forbes, 28 Mar. 2024 This line must be completed when such an entity provides a Form W-9 to another flow-through entity. Matthew Erskine, Forbes, 28 Mar. 2024

Word History

First Known Use

1982, in the meaning defined above

Time Traveler
The first known use of flow-through entity was in 1982

Dictionary Entries Near flow-through entity

Cite this Entry

“Flow-through entity.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/flow-through%20entity. Accessed 23 Nov. 2024.

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