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Lotteries, immediate lotteries, number games like lotto and keno, sports betting, horse betting, poker, different card video games, casino table games (like roulette and craps), bingo, and electronic gaming machines are all examples of business gambling. Like a C company, an S corp is a legal entity. Like a sole proprietorship, partnership, or LLC, an S corp shouldn’t be a separate tax entity, so it does not pay revenue tax. Corporations are separate tax entities, so they pay revenue tax on their profit. Owners also pay income tax on that profit when distributed to shareholders. Only corporations with fewer than 100 shareholders are eligible to be taxed as S corps (though some businesses, notably those in the field of finance, can by no means be S corps, no matter the dimension).
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