We explain what a natural or physical person is, its differences with a legal or legal entity and the characteristics of both.
Natural person and legal person
In the legal and administrative field, a distinction is often made between a natural or natural person and a legal or legal person. Both are individuals capable of carrying out transactions, invoking legal rights or even committing crimes.
This distinction lies in the very nature of the individual. It is essential when establishing their rights, duties and the procedures in which they may be involved.
This way, A natural person or natural person is any member of the human species capable of acquiring rights and contracting obligations. These are individuals of real, tangible, conscious and autonomous existence, subjects of law before the law.
Depending on the legal system, absolutely all members of the human species may have a place in this concept, whether they have been born or even are about to be born. This is where numerous debates arise regarding the point of origin of the fundamental rights of human beings.
Any human being that comes to mind serves as an example of a natural person, as long as they are alive, enjoying their fundamental rights. The dead were natural persons, but they no longer exist.
Instead, A legal person or legal entity is an individual with verifiable legal existence that is, endowed with rights and duties. It does not exist in the same way as a physical person, but rather is an institution or organization created by natural persons to fulfill a social objective (with or without profit).
Legal entities may in fact be composed of a group of natural persons, as well as a set of assets assigned as common property.
These types of people are born from a legal act or act of constitution, or due to the recognition of some other institution, authority or administrative body of the State. Examples of legal entities are public and private companies, non-governmental organizations, foundations and the State itself.
This distinction between natural persons and legal persons can also be expressed in the terms of individual legal entities either collective legal entitiesrespectively.
See also: Person
Natural person and legal person
These terms are basically synonyms for natural person and legal person respectively. They differ legally and fiscally in the following points:
- Denomination While natural persons simply use their name and identification number to carry out procedures and declarations, legal entities, on the other hand, are distinguished from each other by a company name, which refers to the activity that the company or organization carries out.
- Tangibility Natural persons, made of flesh and blood, have a mobile and tangible body, while legal persons do not. However, both can exercise rights and possess property, in accordance with the law.
- Legal limitations Each case has its limitations according to current law, such as the age of majority for legal procedures in the case of natural persons, or a greater tax burden and greater formal requirements in the case of legal entities.
- Different tax regimes The State does not tax natural persons and legal entities in the same way and according to the same rules, generally for the benefit of the former.
Continue with: Civil law
References
- “Natural person” in Wikipedia.
- “Legal entity” in Wikipedia.
- “Differences between a natural person and a legal entity” (video) in PQS.
- “Natural person versus legal entity” in Natural Person versus Legal Entity.
- “What are the differences between a natural person and a legal person?” at the Bogotá Chamber of Commerce.
