I'm working to create a Web Site that will advertise products for
various Canadian Retailers. This is a joint effort being done by
myself, a US citizen living in Utah, and my business partner, who
resides in Canada. We both wish to hold a 50% piece of ownership in
the company, as we are co-founders. My question is, what is the best
business structure for our business, and where should it be formed at?
ALL of the business will be conducted via the Internet with Canadian
retailers. Both of us will be working from our homes, and absolutely
none of the business will be conducted at a physical office. We have
no plans to hire any additional people onto the business, and if we do
seek outside help it will be from independent contractors. We would
like to keep things as simple as possible, meaning it would be nice if
the business structure we went with had protection from double
taxation, offered us a little protection from liability, and had
minimal reporting needs. We have no plans of making this a public
company, or offering stock.

Also, please direct me to where I can register the business at (a web
site if possible) or where I can obtain the proper forms.

Finally.. does the way this whole operation is going to be setup mean
that my earnings from the company will be double taxed because of the
fact I live in the US. IE. Will my earnings be taxed by Canada first,
and then by the US once I transfer the money to my bank account and
pay myself? If so, what can I do to avoid or minimize this double
taxation?

I know this is a fairly complicated question, so feel free to ask any
follow up questions.

Thanks!