Corporate tax is a tax imposed on the income or profit of corporations. This tax is calculated based on the company's earnings after deducting allowable expenses, such as salaries, rent, and materials. The rate of corporate tax can vary by country and is often a significant source of revenue for governments. Corporations are required to file tax returns, detailing their income and expenses, to determine their tax liability. The funds collected from corporate taxes are typically used to support public services and infrastructure, benefiting society as a whole. Different countries may have various rules and incentives related to corporate tax to encourage business growth and investment.