Corporate Income Tax

Corporate Income Tax is a tax levied on the profits earned by corporations and businesses. It is typically assessed at a specific percentage of the net income, which is the revenue remaining after all allowable expenses, deductions, and costs have been subtracted. The tax is imposed by federal, state, or local governments and varies by jurisdiction. The revenue collected from corporate income tax is used to fund various public services and infrastructure. Corporations are required to file tax returns reporting their income and paying the due taxes, and the rates can differ depending on the size of the corporation, the nature of its business activities, and its taxable income. Corporate income tax plays a critical role in the overall taxation system and can influence business decisions, investment strategies, and economic behavior within the marketplace.