Reasonable Compensation for S Corps
Description
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.
Objective
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
Advanced Preparation
None
Required Knowledge
None
Who Should Attend
CPA & EA practitioners who advise S Corps on the issue of Reasonable Compensation who are interested in learning about current IRS guidelines, and solutions for advising their clients on the issue of Reasonable Compensation.
Credit Types
- CPE – Taxes
Registration Fees
| Registration | Type | Price |
|---|---|---|
| WRX77026: Registration – Member | Mem | $105 |
| WRX77026: Registration – Non-Member | NM | $230 |
The North Carolina Association of Certified Public Accountants is registered with the National Association of State Boards of Accountancy (NASBA) as a sponsor of continuing professional education on the National Registry of CPE Sponsors. State boards of accountancy have final authority on the acceptance of individual courses for CPE credit. Complaints regarding registered sponsors may be submitted to the National Registry of CPE Sponsors through its website: www.nasbaregistry.org/.For information regarding refund, complaint, program cancellation or other policies, visit our Registration Policies page or call 800-469-1352.