South Dakota Corporation

For South Dakota Corporation prices and State fees, please visit the costs page for forming a Corporation in South Dakota.

South Dakota corporation and corporation are general, for profit, corporations, refered to as "C Corporations", referring to Chapter "C" of the IRS tax code. A corporation is a separate legal entity and is, essentially, treated as a person, legally. The entity can own property, open bank accounts and credit lines and, under its own name, conduct business. The corporation is responsible for its own debts and actions, therefore (if the company is operated correctly) in the event of a lawsuit that forces the business into bankruptcy, the owners of the corporation are not liable for the corporate debt.

All corporations and business entities filed with the South Dakota state office are subject to an annual filing of a statement of information, or annual report. This generally means a small filing fee is required. South Dakota corporation directors, officers and legal addresses are sent to the state office. corporation state offices generally allow for the filing of this report online, or you can call Companies Incorporated and have your statement filed for you, for a small service fee. This will ensure that your corporation is in good standing with the state office.

A corporation is a common form of business organization that is chartered by a state government. It is granted many legal rights as an entity separate from its owners. The corporation is distinguished by limiting the liability of its owners, issuing shares of stock that can be transferred from one individual to another, and its ability to have perpetual existence. Because a corporation is separate from its owners it can protect them from being personally liable when the company is sued (known as limited liability). In addition there are tax benefits available to incorporated businesses that are not available to unincorporated businesses.