BUS 340 Lecture Notes - Lecture 21: Limited Liability Company, General Partnership, System On A Chip
Document Summary
The only way to form a corporation is to have a state form it. You get the date, hour, minute it was formed because it"s intangible. Formed by going to a state and forming a corp. Tax payer id from irs number for corp taxing (like soc. Ownership comes from stock, corporation is a separate entity (entity concept) Corp is separate (fictitious) from person the entity is the person. Corp owners are stockholders but they"re not the corp. Not a pass thru for taxation double taxed. Corps have tax brackets/tables just like personal brackets [federal] (1st tax) State"s also have income taxes for corps. Board of directors taxes cash out to give dividends to stockholders. Stockholders have to pay taxes on dividends (2nd tax) Ex: (tort) pizza deliverer hits school bus and catches on fire million liability court vs. fort collins pizza plaintiffs then own million because.
