Similar to the income tax brackets and rates, the tax laws have defined slabs and rates for corporations as well. The corporate tax which is calculated on the amount earned as profit by any corporation depends on the tax rate which is applied.
According to the rates and brackets defined for year 2010, there are 8 tax brackets in all each having
Corporate taxes are imposed on the earnings of corporations every year according to the specified tax rates. Similar to income taxes, tax credits and tax deductions may be available to corporations which can help them to pay fewer taxes.
One of the largest tax credits that corporations can avail to is the foreign tax credit.
Some entities in United States are treated as corporations for tax purposes. The tax which is imposed on these corporations according to the defined laws is called corporate tax. The corporate tax is applicable at the Federal level and is also implied in most of the states and in few local jurisdictions.