Georgia Corporation Definition
Georgia Corporation
DEFINITION
DEFINITION
A Georgia Corporation is a business entity that is separate from its owners, the shareholders. It is composed of three different groups: the shareholders, directors, and officers. A corporation has limited liability. Debts incurred by the corporation generally cannot be collected from the officers, directors, or shareholders. For-profit corporations pay tax on earned income and shareholders pay tax on dividends received. Certain smaller corporations may also elect with the Internal Revenue Service to be an S-Corporation. An S-Corporation can help a business avoid double taxation since it is taxed more like a partnership.
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