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(solution) You have a good friend named Frank who is planning to form a new


You have a good friend named Frank who is planning to form a new business. He comes to you for advice. He is a Christian, and he wants to obey God in the operation of his business. He is concerned as to whether Christians should attempt to minimize their tax burdens, after all, "Render unto Caesar that which is Caesar's," right? Further, he is concerned as to what liability protection really means and whether a Christian should use an entity that provides for liability protection. He fears that by using such an entity he might be shirking his personal responsibilities. In order to help Frank with his decision, answer the following questions:

  1. Define what is meant by the concepts of limited liability, and/or liability protection. From the perspective of a Christian worldview, is it wrong for a business owner to use a business organization form that provides for liability protection?
  2. From the perspective of a Christian worldview, is it wrong for a business to try to minimize its overall tax burden?

 


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