Corporation (US law): Difference between revisions
Jump to navigation
Jump to search
imported>Jonathan Beshears (New page: A corporation is a legal entity. Most are formed to run a business and make a profit, but some are formed as a non-profit, to provide some other benefit. Corporations are considered separa...) |
imported>Jonathan Beshears No edit summary |
||
| Line 1: | Line 1: | ||
A corporation is a legal entity. Most are formed to run a business and make a profit, but some are formed as a non-profit, to provide some other benefit. Corporations are considered separate legal entity, and thus can sue, be sued, and enter contracts. | A corporation is a legal entity. Most are formed to run a business and make a profit, but some are formed as a non-profit, to provide some other benefit. Corporations are considered separate legal entity, and thus can sue, be sued, and enter contracts. Corporations provide limited liability; that is, investors cannot be forced to pay from their personal asset for debts of the business. In the United States, corporations are subject to corporate income taxes, while the salaries of workers and the dividends of investors are again taxed as personal income, resulting in double taxation. | ||
Revision as of 00:19, 10 April 2008
A corporation is a legal entity. Most are formed to run a business and make a profit, but some are formed as a non-profit, to provide some other benefit. Corporations are considered separate legal entity, and thus can sue, be sued, and enter contracts. Corporations provide limited liability; that is, investors cannot be forced to pay from their personal asset for debts of the business. In the United States, corporations are subject to corporate income taxes, while the salaries of workers and the dividends of investors are again taxed as personal income, resulting in double taxation.