How are corporations different from other business entities?
Unlike other business entities, corporations are treated separate from their stockholders because legally speaking, the corporation is a separate legal entity from its stockholders. This is why corporations can sue and be sued without any personal liability on the stockholders’ part. Corporations are also taxed separately from their stockholders, creating a double-taxation situation—the corporation paying taxes, and the individual stockholders also paying taxes. But corporations are typically taxed at a lower rate than their stockholders. Transferring stocks and shares of stock is fairly easy in a corporation and if a shareholder dies, the corporation doesn’t. Do you tend to ignore your corporate record keeping responsibilities and just hope for the best? Does keeping your corporate minute book complete and up-to-date seem relatively unimportant and all too easy to overlook? If so, you may be at risk for litigation and not even know it. Visit ManageMyMinutes to find out how you can red
