Corporate Income Taxes

The U.S. federal corporate income tax was first instituted in 1909 when income above $5,000 was subjected to a one percent tax rate. Since then it has changed approximately 35 times, with the current top rate at 35 percent.

Additionally, many U.S. states levy corporate income taxes of their own. Economists have long understood that corporate income taxes are double taxes, since the same income is taxed once as profit, and once as individual income when distributed as dividends to shareholders.

Contrary to popular misconception, the ultimate burden of corporate income taxes doesn’t fall on corporations, but is instead borne by workers, shareholders and consumers.


Related Articles

Are We Finally Moving to a Territorial System for Corporate Taxes?

October 27, 2011

Assessing the Perry Flat Tax

October 25, 2011

What Would Warren Buffett Pay Under 9-9-9, if He Went on a Consumer Binge?

October 17, 2011

Some Rather Important and Unspecified Details of 9-9-9

October 17, 2011

What would Warren Buffett pay under 9-9-9?

October 14, 2011

Yes, Corporations are People, Even in Thailand

September 23, 2011

Academic Research Suggests That the American Jobs Act Will Produce Few Jobs

September 19, 2011

The Shortcomings of President Obama’s Deficit-Reduction Proposal

September 19, 2011

Tax Breaks for Video Game Companies

September 16, 2011

New Podcast on the Prospects for Tax Reform in Maine

September 16, 2011

“Tax Reform: The Key to a Growing Economy and Higher Living Standards for All Americans” (Testimony Before the U.S. House of Representatives Committee on the Budget)

September 14, 2011

U.S. Corporations Suffer High Effective Tax Rates by International Standards

September 13, 2011

Monday Map: State Corporate Income Tax Apportionment Formulas

September 12, 2011

Doubling Down on the Payroll Tax Holiday is a Bad Bet

September 9, 2011

New Podcast: What Corporations Really Pay in Taxes

September 9, 2011

Corporate Income Tax Revenue Not Correlated with Statutory Rates

September 7, 2011

Beyond the Headlines: What Do Corporations Pay in Income Tax?

September 7, 2011

New Podcast on the Fight for Tax Reform in Kansas

September 2, 2011

Faulty Reasoning, Excellent Cartoons

September 1, 2011

Why a Permanent Repatriation Holiday, Rather Than a Temporary Fix, Is Prudent Policy

August 31, 2011