Comments on: Why would you tax a corporation?

By: bostonianinmo

bostonianinmo — Thu, 11 Sep 2008 12:36:16 +0000

What makes you think that a corporation is “legal fiction?” Sorry, but it’s anything but ficticious.

The short and simple answer is that that’s the law. That’s why corporate income is taxed. From your logic, why should any business be taxed — it’s the customers who ultimately pay anyway, right? Same answer: It’s the law.

In case you haven’t noticed, individuals pay income taxes as well.

Are you proposing that corporations pay no tax at all and that individual income taxes be raised to compensate? If you are, you must be some sort of corporate shill. But even so, YOUR tax bill would rise as well. Is THAT what you want??

By: MukatA

MukatA — Mon, 08 Sep 2008 11:51:50 +0000

Only in case of C-corporation, the income of the corporation is taxed.
In case of S-corporation, the income is passed on to the share holders. The corporation only pays the State (FBT) tax, which is $800 in CA.

By: wartz

wartz — Fri, 05 Sep 2008 20:42:25 +0000

It is part of the price you pay to operate as a corporation. The owners could opt to be a subchapter S corporation and have the income flow directly to the share holders if they wish.

By: Brad456

Brad456 — Thu, 04 Sep 2008 21:50:45 +0000

actually its a double tax, the corporation is taxed on its profits and the investors are taxed on the same money for capital gains or personal income.

its all about the government taxing everyone as many times as they can.

By: Perplexed

Perplexed — Wed, 03 Sep 2008 15:57:25 +0000

They are taxing individuals. And only end user individuals actually pay any tax at all.

Each time they charge a fee or tax to a Corp, the end user, or individuals are the ones that actually pay it. It is factored into the price of the product or service.

Then we pay tax again when we earn, spend or save our money.

C’mon flat tax !

By: raybdog

raybdog — Mon, 01 Sep 2008 00:39:19 +0000

Because that “work of legal fiction” partakes of many of the same governmental services as individuals do.