Corporate Veil
Corporate Veil means:
the use of a corporation to disguise or protect a person's actions. Courts may pierce the corporate veil to try the underlying person; see piercing the corporate veil.
U.S. and other Developed Countries International Tax Meaning
As a corporation is a separate legal entity, and shareholders have an interest in the company rather than in its assets, the corporate veil is used to describe the inability to look behind the legal entity and attribute the actions assets, debts and liabilities of a company to those standing behind it, notably the shareholders. Courts may sometimes be able to “pierce” (look through) the corporate veil to make an attribution to the underlying person or persons.
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