Reasonable Compensation for S Corps

Oct 27
9:30 - 11:30 a.m.

Online

2-Tax
CPE Credits

Between 2010 and 2020 a parade of Court Cases, IRS Factsheets, Job Aids and Internal Memos, plus Heightened IRS scrutiny and Preparer Penalties has brought the issue of 'Reasonable Compensation for S Corp's out of the shadows and placed it forefront as a priority issue for CPA's, EA's, Tax and Financial advisors to cover with their clients. We will explore key court cases, IRS guidelines, preparer penalties and some of the obscure tools the IRS has put in place. We debunk common myths and fiction on how reasonable compensation should be calculated and replace it with facts and methodologies that the IRS relies on. This event may be a rebroadcast of a live event and the instructor will be available to answer your questions during the event.

After attending this presentation you will be able to...

Identify the basic advantages of Distributions V. Salary/Wages
Assess the consequences of an IRS re-characterization of distributions
Review Reasonable Compensation in the courts
Select the IRS guidelines for determining Reasonable Compensation
Determine when Reasonable Compensation applies to your client
Illustrate advanced scenarios
Examine Tips from the pros and IRS Red Flags
Study why Reasonable Compensation has become a priority for the SB/SE division of the IRS
Identify options for determining Reasonable Compensation

Highlights

The major topics that will be covered in this course include:

Explain the payroll tax advantage of taking distributions over wages
Review key court cases that shape todays reasonable compensation landscape
How to use court factors to stress test reasonable compensation
Best practices for determining reasonable compensation
Review of the IRS’s enforcement on reasonable compensation; past, present and future

Registration

PICPA Member: $89
Nonmember: $114

More Information

Course No. RCPHRCS2 Level: Basic

Prerequisites: None

Notes
You will receive an email confirmation with the course link and details. This email will come from webinars@cpacrossings.com. If you do not receive this email immediately after your registration has been processed, first check your spam folder. If you still cannot locate the email, call the CPA Crossings Webinar Helpdesk at 877.370.2220 for assistance.