C corporation

C corporation definition - business

C corporation

A corporation with profits taxed separately from its owners'. The name derives from subchapter C of the Internal Revenue Code. A C corporation differs from an S corporation, whose profits are passed through to shareholders and taxed at the personal rates of the shareholders.

The American Heritage® Dictionary of Business Terms Copyright © 2009 by Houghton Mifflin Harcourt Publishing Company. Published by Houghton Mifflin Harcourt Publishing Company. All rights reserved.

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