Taxation
Изисквания за завършване
Think of the Bulgarian equivalents to the terms concerning taxation in the text and below.
US corporations
The US distinction between S corporation and C corporation is not based on a public vs. private opposition but on how both forms of incorporation are taxed. The C corporation (taxed under Subchapter C of Chapter I of the Internal Revenue Code) pays taxes, at special corporate tax rates, on any profits that are left in the company from year to year (called “retained earnings”). This taxation scheme does not apply to S corporations (taxed under Subchapter S of Chapter I of the Internal Revenue Code), which are smaller corporations (the maximum number of shareholders is prescribed by the law) that have elected a partnership-style taxation, i.e. all of the corporation’s profit and losses “pass through” to the owners, who report them on their individual income tax returns.
tax avoidance (legally trying to minimise the tax that should be paid)
tax evasion (illegally trying not to pay taxes)
a tax that is due (tax that should be paid by a specified date)
tax exemption (the licence not to pay certain taxes)
tax relief (a partial easement of the amount of taxes paid)
US corporations
The US distinction between S corporation and C corporation is not based on a public vs. private opposition but on how both forms of incorporation are taxed. The C corporation (taxed under Subchapter C of Chapter I of the Internal Revenue Code) pays taxes, at special corporate tax rates, on any profits that are left in the company from year to year (called “retained earnings”). This taxation scheme does not apply to S corporations (taxed under Subchapter S of Chapter I of the Internal Revenue Code), which are smaller corporations (the maximum number of shareholders is prescribed by the law) that have elected a partnership-style taxation, i.e. all of the corporation’s profit and losses “pass through” to the owners, who report them on their individual income tax returns.
tax avoidance (legally trying to minimise the tax that should be paid)
tax evasion (illegally trying not to pay taxes)
a tax that is due (tax that should be paid by a specified date)
tax exemption (the licence not to pay certain taxes)
tax relief (a partial easement of the amount of taxes paid)