CPE Credits: 2
Course Level: Basic
Prerequisites: Basic Knowledge of S Corporation Taxation
Advance Preparation: None
Fees: $49 for Members and $60 for Nonmembers
Summary
The IRS is drastically increasing its efforts in examining the reasonableness of S corporation shareholders’ salaries. Many S corporations pay little to no wages to its shareholder-employees to escape payroll tax on the income. This webinar will explore the factors the IRS looks at to determine what shareholder-employees should be paid. We also will discuss the tax consequences of failing to pay a reasonable wage. In addition, we will evaluate the tax treatment of various taxable and nontaxable fringe benefits and the proper tax treatment of each.
Objectives
Upon completion of this webinar, you’ll be able to:
- Identify and compare taxable and nontaxable fringe benefits.
- Properly report taxable fringe benefits to shareholders.
- Identify factors used to determine reasonable compensation.
- Explain the tax ramifications of below market loans from an S corporation to its shareholders.
Presenter: Steven O'Rourke, EA