The use of an S corporation election can dramatically affect the tax consequences of owning a corporate business. This course focuses on the requirements that must be satisfied to make and retain this tax election.
Target Audience
CPAs
Course Objectives
Identify and discuss the requirements that must be satisfied to make the S corporation election
Recognize complications related to having trusts, estates, tax-exempt and ESOP shareholders
Review and application of the one class of stock requirement to accomplish continued qualification
Determine tax planning ideas to accommodate economic participation by disqualified investors
Subjects
Qualified shareholder requirement
Trusts as shareholders
Estates as shareholders
Qualified tax exempt shareholders
Tax planning ideas to accommodate economic investments by disqualified investors
Special rules for counting the number of shareholders
One class of stock requirement
Indirect preferences creating risk of failing one class of stock requirement
Disqualified corporations
Making an effective S corporation election
Relief for late or defective elections
Inadvertent termination relief for involuntary terminations
