Asked by Sandra Belgarde on May 14, 2024
Verified
Corporate income is taxed twice.
Corporate Income
The income generated by companies from their operations, including sales, services, and investments.
Taxed
Subjected to a charge or levy by the government on income, transactions, or property to fund public expenditures.
- Understand the mechanism and importance of double taxation in corporate entities.
- Identify the legal and tax outcomes associated with various business structures.
Verified Answer
KL
Kaley LeAnnMay 16, 2024
Final Answer :
True
Explanation :
Corporate income is taxed twice.First,the corporation must pay taxes on its profits.Second,the shareholders must pay taxes on the dividends they receive from the corporation.
Learning Objectives
- Understand the mechanism and importance of double taxation in corporate entities.
- Identify the legal and tax outcomes associated with various business structures.