What is corporate taxation?
Corporate taxation plays out just like the federal income tax placed upon an individual person, but is placed upon an entire entity of a corporation. The corporate tax is a direct tax imposed on the net profits of corporations based in the United States. Depending on the state in which corporations are headquartered, they must pay certain federal, state, and local corporation tax in order to remain in legal business within the country. Many states differ on how they impose their jurisdiction tax.