corporation(5/0)
Analysis of articles of incorporation
This is a comparison of the articles of incorporation for an LLC published by the United States and by India. Similarities The foremost similarity between the Indian and American articles of incorporation for a limited liability corporation (LLC) is the concept of business members and business managers or directors. Membership in the Indian articles is closely tied to ownership of shares (3.ii), and the American articles also tie membership with business share ownership (2.…
Business is responsible for most tax collection
Many nations use business as the principal means of tax collection. Two reasons exist for this. First, the effect of most taxation does not depend on who collects it. In economic terms, incidence refers to the impact of taxes on a segment of the economy. Split into “formal” and “effective,” the study of incidence seeks to determine who actually pays for taxes. What economists have discovered is that, while the party formally responsible for tax may differ, the effective responsibility rests upon the same economic segment.…
Choose a corporate identity carefully
Choose the corporate identity that makes legal and tax sense for your circumstances. In the United States, five legal entities are typical among businesses: sole proprietorship, partnership, C corporation, S corporation, and LLC. Each has its tax benefits and hindrances depending on the circumstances of the business. Sole proprietorships are simple to stand up and easy to incorporate into a person’s existing tax documents. Instead of separate tax preparation, a sole proprietorship adds a Schedule C form to their 1040 ((Clydebank, pg.…
Consider sole proprietorship for a lean startup
Consider a sole proprietorship with liability insurance over a Limited Liability Corporation (LLC) for a lean startup. When an entrepreneur first sits down to consider how to incorporate a business, the technical details may bore her to tears. That is, until she reads about liability and begins to imagine what horror stories may apply to her. Lean startup entrepreneurs want runway to iterate on their business model until a product/market fit is achieved.…
Corporation definition
Corporation: a collection of individuals dedicated to a common profitable goal. The profitable corporation is relatively new in human history. The first, East India Company, was notorious both as a new invention and as a powerful entity distinct from the nation state. With the combined capital and influence of a quarter million people at its peak, it had the political power of a wealthy country. Its existence started and was maintained by one goal - to profit from controlled trade between India and Europe (The New Internationalist).…