Corporate taxes are fees imposed by governments on the profits earned by businesses. These taxes are calculated based on a company's net income, which is the total revenue minus allowable expenses. The rates can vary significantly between countries and can influence business decisions, such as where to locate operations or how to structure finances. Governments use corporate tax revenue to fund public services and infrastructure, which can benefit the economy. However, high corporate tax rates may discourage investment or lead companies to seek tax advantages through various strategies, including offshore accounts or deductions, to minimize their tax liabilities.