Canada addresses the personal/corporate problem with an integrated tax system: To a first approximation, individuals who receive corporate dividends get a refund of the taxes which the dividend-paying corporations paid on that income. It never works out exactly equal, but as long as I've been running Tarsnap the difference between "pay a bonus" (employment income for me, deductible for the corporation) and "pay a dividend" (dividend income for me, paid by the corporation with after-tax dollars) has been less than 1%.

I really don't understand why other countries don't use the same system.