C Corporation

(redirected from C-Corporations)
Also found in: Financial.
A type of business that may be created by a group of professionals wishing to become incorporated
Pros Less troublesome in daily financial management, minimises current net income—as the income is paid to the physicians as compensation—and minimises current tax liability
Cons At time of sale, up to 60% of the proceeds are paid in taxes by the corporation and by the individual shareholder
References in periodicals archive ?
Significant proposals, such as lowering the tax rates for S-Corporations, C-Corporations, and strong cost-recovery provisions, will help ensure our tax system is pro-growth to benefit American consumers, manufacturers, and the economy.
The tax shall be calculated at the highest rate of tax attributable to individuals for individuals, S-Corporations, trusts, estates, disregarded entities not owned by C-Corporations, and partnerships; the highest rate of tax attributable to corporations for C-corporations and entities owned by C-corporations; and a zero rate of tax for tax-exempt or nontaxable partners.
Individuals can receive up to $5,000 in state tax credits, a married couple up to $10,000 and C-Corporations up to 75% of their state income tax liability
In 2013 alone, C-corporations used tax credits to reduce their Oregon tax bill to zero dollars, shorting the state about $8.
Further, Jim has organized and chaired NYSSCPA C-Corporations Committee Annual Tax Conferences, and has been published in several publications such as the Tax Advisor, NYSSCPA CPA Journal, and NYSSCPA Tax Stringer.
C-corporations offer a higher degree of limitation on liability, applicable to directors, officers, shareholders and employees.
How do governance structures differ across legal categories of incorporation (for example, S- and C-corporations or mutual holding companies)?
Group Long Term Care Insurance premiums paid by C-Corporations may be 100% tax deductible and partially deductible for other types of corporations," according to Matesky.
Keep in mind: companies organized as c-corporations pay income tax as well.
The Small Business Jobs Act doubles the tax deduction for start-up companies (from $5,000 to $10,000), allows many small businesses to carry back their general business credits to offset five years of taxes, and changes the law to reduce taxes for C-corporations that became S-corporations.
According to the Secretary of State's office, of the 402,918 businesses in Washington, I38,236 are active profit corporations - including C-corporations, LLCs and others.
C-corporations are separate legal entities from their owners and thus are liable for taxes.