A corporation, sometimes called Corporation C, is a legal entity that is independent of its owners. Corporations can make a profit, pay taxes and be held legally liable. Corporations offer the greatest protection to their owners from personal liability, but the cost of forming a corporation is higher than that of other structures. A corporation is a legal entity created by individuals, shareholders or shareholders, for the purpose of operating for profit.
Corporations can enter into contracts, sue and be sued, own assets, remit federal and state taxes, and borrow money from financial institutions. A corporation is a legal entity operating under state law, whose scope of activity and name are restricted by its statutes. Articles of Incorporation must be filed with the State to establish a corporation. Shareholders are protected from liability and shareholders who are also employees can take advantage of some tax-free benefits, such as health insurance.
There is double taxation with a C corporation, first through income taxes, and second, through shareholder dividend taxes (such as capital gains). A legal entity is any company or organization that has legal rights and responsibilities, including tax returns. It is a company that can enter into contracts as a seller or supplier and can sue or be sued in a court of law. Legal experts and others, such as Joel Bakan, have observed that a commercial corporation created as a legal person has a psychopathic personality because it requires raising its own interests above those of others, even when this inflicts significant risks and serious harm to the public or third parties.
As Judge Brandeis pointed out, corporations' purposes were once limited and are now incredibly broad. The concept of corporation was revived in the Middle Ages with the recovery and annotation of Justinian's Corpus Juris Civilis by glosators and their successors, commentators, in the 12th-13th centuries. In short, in my book I argue that the Supreme Court is allowing vastly expanded corporate rights, while at the same time the Court itself exempts companies from a growing list of responsibilities. Scott) for a part of the property, the mistake at Citizens United was to confuse a part of the property (a corporation) with a person.
Courts have been willing to grant broad rights to corporations, but have not given corporations and individuals identical rights. Particularly important in this regard were the Italian jurists Bartolus de Saxoferrato and Baldus de Ubaldis, the latter of whom connected the corporation with the metaphor of the political body to describe the state. These state corporate laws generally require articles of incorporation to document the creation of the corporation and provide provisions on the management of internal affairs. Corporate managers, therefore, can act undisciplined and selfishly at the expense of shareholders, such as helping themselves with generous retirement packages or using benefits such as corporate planes.
Owners receive benefits and are taxed on an individual level, while the corporation itself is taxed as a business entity. In court cases involving companies, shareholders are not responsible for the company's debts, but the company itself, being a legal person, is obliged to pay those debts or to be sued for non-repayment of debts. The degree of permissible government interference in corporate affairs was controversial since the nation's earliest days. There is significant evidence that limited tort liability can result in excessive corporate risk-taking and greater harm by corporations to third parties.