&gt; I would hope so too, but functionally the only way to do this efficiently would be to tax them all at the same rate (meaning no marginal brackets).<p>I&#x27;ve always thought that ideally corporate tax rates <i>should</i> be flat, and should be at the maximum marginal rate for personal income tax, but that all corporations (not just those which currently do this) should be able to take advantage of the lower personal marginal tax rates of their shareholders, essentially having the option to be taxed at a rate as if its taxable income were additional income to its shareholders, distributed in proportion to the ownership share, except for the income share of shareholders that aren&#x27;t individual taxpayers (e.g., nonresident foreigners.)<p>However, I don&#x27;t think that we&#x27;re at the point where this would be administratively feasible. OTOH, given that there <i>are</i> options for corporations to distribute tax liability to shareholders, they just take special up-front decisions and impose some limits, I&#x27;d be happy to settle with corporate income tax fixed at the top marginal personal rate.