corporate taxes
Company income payments
Corporate taxes are levies imposed by governments on the profits earned by businesses organized as corporations.
Unlike income taxes on individuals, corporate taxes apply to business entities as separate legal persons.
The rate and structure vary widely by jurisdiction, and corporations often employ strategies to minimize their tax burden through deductions, credits, and sometimes shifting profits to lower-tax locations.
The company's effective corporate tax rate was lower than the statutory rate due to various incentives.
Exploitable ambiguities in rules
- tax havensLow-levy jurisdictions for assets
- sheltersPlaces offering protection
- avoidanceDeliberate keeping away
- minimizationMaking as small as possible
planning · deferrals · credits · deductions · incentives · write-offs · offshore accounts · inversions
Federal tax collector
- filingsParticles from abrasion
- auditsFormal account inspections
- tax codeLaws governing taxation
- e-filingOnline document transmission
due diligence · reporting · penalties · enforcement · withholding · W-2 · 1099 · schedules
Asset value reduction over time
- amortizationGradual debt reduction schedule
- accrualsAmounts accumulated over time
- provisionsStockpiled food and supplies
- write-offsCancelled debts or expenses
capitalization · cost basis · taxable income · pretax income · allowances · reserves · GAAP · financial statements
State spending and taxation
- GDPNational output abbreviation
- government revenueIncome of the state
- deficitAmount still owed
- public spendingGovernment allocation of funds
economic growth · tax base · budget · federal revenue · state revenue · tax burden · wealth redistribution · public services
Marks setting off text
- flat taxSingle-rate income levy
- progressiveFavoring reform and innovation
- regressiveReverting to earlier stages
- capital gainsProfit from asset sales
surcharge · tax cuts · rate reduction · tax increase · competitive rates
Improve by correcting faults
- legislationOfficial enactment of statutes
- lobbyingAdvocating to decision-makers
- bipartisanInvolving both major parties
- CongressU.S. lawmaking body
tax breaks · subsidies · fairness · progressivity · simplification · retroactive · grandfathering · carve-outs
loopholes
Exploitable ambiguities in rules
- tax havensLow-levy jurisdictions for assets
- sheltersPlaces offering protection
- avoidanceDeliberate keeping away
minimization · planning · deferrals · credits · deductions · incentives · write-offs · offshore accounts · inversions · restructuring
IRS
Federal tax collector
e-filing · due diligence · reporting · penalties · enforcement · withholding · W-2 · 1099 · schedules · tax returns
depreciation
Asset value reduction over time
- amortizationGradual debt reduction schedule
- accrualsAmounts accumulated over time
- provisionsStockpiled food and supplies
write-offs · capitalization · cost basis · taxable income · pretax income · allowances · reserves · GAAP · financial statements · footnotes
fiscal policy
State spending and taxation
- GDPNational output abbreviation
- government revenueIncome of the state
- deficitAmount still owed
public spending · economic growth · tax base · budget · federal revenue · state revenue · tax burden · wealth redistribution · public services · infrastructure funding
brackets
Marks setting off text
- flat taxSingle-rate income levy
- progressiveFavoring reform and innovation
- regressiveReverting to earlier stages
capital gains · surcharge · tax cuts · rate reduction · tax increase · competitive rates
reform
Improve by correcting faults
- legislationOfficial enactment of statutes
- lobbyingAdvocating to decision-makers
- bipartisanInvolving both major parties
Congress · tax breaks · subsidies · fairness · progressivity · simplification · retroactive · grandfathering · carve-outs · special interests
- chargesfees, surcharges, levies, service charges, service fees
- corporationsApple, Microsoft, Google, Amazon, Toyota
- accountingbookkeeping, ledger, balance sheet, general ledger, accounts payable
- taxationtax, income tax, sales tax, tax return, tax refund
- fiscal policybudget deficit, deficit spending, national budget, budget surplus, budget deficits
- incorporationarticles of incorporation, incorporator, incorporation, incorporators, registered agent
corporate taxespayroll taxes
Compulsory deductions from wages
estate taxes · inheritance taxes · property taxes · capital gains taxes · sales taxes
corporate taxescorporate subsidies
Government payments to businesses
corporate welfare · government grants · tax incentives · business incentives · bailouts
corporate taxestax exemptions
Legally untaxed income portions
tax breaks · tax havens · tax shelters · tax-free status · tax abatements
corporation, incorporate, taxes, corporate, incorporated, corpus, incorporating, incorporates, unincorporated