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Delaware corporations that do not conduct business in Delaware do not pay any corporate income tax. So the franchise tax is a way for Delaware to generate reven
by dirtae 12y ago
Delaware corporations that do not conduct business in Delaware do not pay any corporate income tax. So the franchise tax is a way for Delaware to generate revenue from all of the Delaware corporations that do not conduct business in Delaware.
- cperciva 12y agoHmm, interesting. I suppose that makes sense -- although I think there's an argument to be made that rather than trying to monetize being an incorporation hub, they should just be happy with all the jobs this creates for Delaware lawyers.