Center for State Tax Policy

Corporate Income Taxes

The 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 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.


Featured Research

Prepared Testimony for the Connecticut Joint Committee on Finance, Revenue, and Bonding

April 10, 2019

State Corporate Income Tax Rates and Brackets for 2019

February 27, 2019

Wisconsin Tax Options: A Guide to Fair, Simple, Pro-Growth Reform

February 13, 2019

GILTI Minds: Why Some States Want to Tax International Income—And Why They Shouldn’t

January 28, 2019

Tax Changes Taking Effect January 1, 2019

December 27, 2018

Tax Trends Heading Into 2019

December 19, 2018


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