Corporate Tax is a tax levied on company’s revenue, in order to boost the taxation. Thus every corporation is supposed to pay tax on their net earnings.
How much a business owes to the government, depends on the Operating Earning.
Operating Earning is generally levied on the company’s revenue after deduction of cost of goods sold (COGS) & depreciation and inclusion of tax rates; which a company is bound to pay to the government. Rules regarding corporate tax vary as per the jurisdiction of different countries.
Due date for submitting your corporate tax return is 15 March in U.S. In some cases where corporation seeks extension then it will be shifted till September. Besides this, mid April, June, September and December are the months when you are required to pay the instalments. In U.S, Form 1120 is created to report Corporate Tax. A corporation is required to register online for assets exceeding $10million.
Corporate Tax Deduction benefits a corporation by allowing them to deduct certain much needed and general expenses conducted while exercising the business.
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