Description

Tax planning strategies for new businesses considering electing S corporation status, and the pros and cons of switching from a C corporation to an S corporation.

Target Audience

- public accounting Firm staff and senior associates

- CPAs

- S corporation tax filers

Course Objectives

- Recognize When an S corporation may be advantageous for A business.

- Identify the potential disadvantages of operating AS an S corporation.

- Identify permitted Fiscal years, elections, and user fees.

- Recognize When the S election becomes effective.

- Identify shareholder consent rules and causes of invalid elections.

- Recognize events causing involuntary termination.

- Recall the path to making A new election after termination.

- Recognize When an S corporation is subject to tax at the entity level.

Subjects

- Advantages and disadvantages of S corporations

- Electing S corporation status

- termination of S corporation status

- S corporation tax on built-in Gains

- S corporation pass-through to shareholders, basis and losses

- S corporation distributions

- taxable year of S corporations

- S corporation passive activity rules, Fringe Benefits and other considerations