C Corporation (C Corp)

Popular Terms
US business organization structure that provides several non-tax benefits (such as limited liability for the owners) and is popular as a staging base for raising large amount of investment capital by going public. Unlike in a S corporation, however, the entity's income is taxed twice first as corporate income, then as shareholder (dividend) income.

Use 'C Corporation (C Corp)' in a Sentence

When thinking of starting a new business, Amanda registered her corporation as a C Corporation because it gave her the best chance of making a lot of money.
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One of the key advantages a C corporation have over a S Corporation is that they can deduct fringe benefits from their taxes as a business expense.
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If you have a business that carries high risk, it may be beneficial to convert to a C Corporation in order to protect yourself.
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