Subchapter S Corporation Definition and Legal Meaning

On this page, you'll find the legal definition and meaning of Subchapter S Corporation, written in plain English, along with examples of how it is used.

What is Subchapter S Corporation?

(n) Internal revenue service enables a corporation to be taxed as a partnership, whereby the profit or loss can be transferred to shareholders instead of dividends. Such corporations are named as S Corporation. Subchapter S corporation provide the conditions contained in Sub chapter S by which a corporation is treated as S corporation