Number of Corporations in U.S. Hit Lowest Level Seen in 40 Years

CNS News reports:

The number of corporations in the United States has hit the lowest level seen in 40 years, according to data from the Tax Foundation.

The Tax Foundation’s report titled, “America’s Shrinking Corporate Sector” states that “recently released IRS data shows that there were 1.6 million C corporations in 2011. This is the lowest number of traditional corporations since 1974 and 1 million fewer than there were at the peak in 1986.”

“In other words, in every year since 1986, roughly 40,000 U.S. corporations have disappeared from the tax rolls,” states the report. “However, the losses have accelerated since 2006 to a rate of about 60,000 per year.”

C Corporations, according to the Tax Foundation, face double taxation due to the corporate tax and shareholder taxes on dividends on capital gains.

Taxes have consequences.