A Minimalist Approach to Corporate Income Taxation

Authors

Herwig J. Schlunk

Document Type

Article

Publication Title

SMU Law Review

Publication Date

2006

ISSN

1066-1271

Page Number

785

Keywords

corporate taxation, business income, intangible assets

Disciplines

Commercial Law | Law | Tax Law

Abstract

An ever-shrinking hallmark of our federal income tax system is the apparent double taxation of some, but not all, business income. That is, some business income ultimately flows to the human shareholders of C corporations. These corporations pay corporate income tax on the taxable income they generate. Then, as and when such corporations distribute their after-corporate-income-tax income to their human shareholders (or equivalently, as and when their human shareholders sell their shares in such corporations), the human shareholders pay individual income tax on the amounts so distributed (or equivalently, on their capital gains).

Recommended Citation

Herwig J. Schlunk, A Minimalist Approach to Corporate Income Taxation, 59 SMU Law Review. 785 (2006)
Available at: https://scholarship.law.vanderbilt.edu/faculty-publications/444