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C Corporation

A standard corporate structure that's legally and tax-wise fully separate from its owners, with profits taxed at the corporate level and again when distributed to shareholders.

A C corporation offers strong liability protection and is the standard structure for businesses planning to raise significant outside investment, since it can issue multiple classes of stock and has no restriction on the number or type of shareholders, unlike an S corp.

The tradeoff is double taxation, corporate profits are taxed once at the company level and again when distributed as dividends, which is a meaningful factor businesses weigh when choosing between a C corp and other available structures.

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