law - week 9 - legal capacity

legal person

recognized by the aw as having rights and duties, can sue or be sued, can own property

natural person

human being

artificial person

recognized by law, don’t exist in nature

unincorporated association

not a seperate legal person

partnership

seperate legal person (corporation, company limited liability)

fraud

where it would be unjust to allow veil protected to exploit veil

double taxation

companies are taxed on their income before they distribute profits to owners → taxed on income + profits

pass-through taxation

only taxed on income not profits

tax deduction

reduces taxable income

tax credit

reduces tax liability