[WEB] S Corporation Tax Workshop

Description

This course is designed to identify the basic rules and regulations that apply in filing a Form 2553 and preparing a Form 1120S. 

Highlights

LINK AND INSTRUCTIONS TO COME FROM AES TAX ONE DAY PRIOR TO SESSION

Objectives

After completing this course the participant will be able to:

• Summarize the seven basic factors that are commonly taken into account in advising a client as to the preferred way to operate a trade or business.
• Discuss the check-the-box regulations.
• Describe the procedural rules that apply to filing Form 1120S and filing Form 2553, including filing a late Form 2553 and the penalty for late filing a Form 1120S.
• Recognize the IRS audit issues as they relate to an S corporation.
• Identify the eligible owners of an S corporation.
• Describe the types of trusts eligible to own S corp stock; when to use an ESBT or QSST.
• Discuss S corporation operational problems including filing Form 2553, selection of tax year end, methods of accounting, calculation of taxable income, fringe benefits available, the treatment of health insurance premiums, reasonable compensation.
• Describe the effect of the S election on the corporation, including the types of income taxes that are imposed on an S corporation and making the PTE election.
• Discuss the effect of the S election on shareholders: allocation of S corporation income and separately stated gain, loss, deduction, and credit; calculation of shareholders' basis and limitation on loss deductibility; distributions from an S corporation; AAA and Schedule M-2.
• Calculate the deduction for qualified business income under §199A.
• Describe the events that will cause termination of the S election: vote of shareholders, ceasing to be an S corporation, passive investment income test, and converting an LLC taxed as an S corporation to an LLC taxed as a partnership.
• Prepare a Form 1120S and report stock and debt basis on Form 7203.

Designed For