S-Corporation Focus

S-Corporation Focus Center Archive

Business Entertainment, Travel and Gift Expense Deductions

TaxTV Staff June 29, 2012 0

Top Takeaways 1. Can deduct ordinary and necessary business-related expenses In general, you can deduct ordinary and necessary business-related expenses for traveling away from home, entertaining clients and customers, and giving gifts to customers,

McDonald’s Franchise Owners Allowed Deduction to Correct Abusive Tax Scheme

TaxTV Staff June 20, 2012 0

The U.S. Tax Court recently held that twelve McDonald’s franchise owners were not attempting to avoid taxes by purchasing shares in an S Corporation and were allowed a deduction for $2,969,000. In the late

S Corporation Termination

TaxTV Staff June 4, 2012 0

Top Takeaways 1: S Corporation can terminate through revocation There are a variety of ways an S Corporation can terminate its S corporation election. First, an S Corporation may terminate by revocation, if more

S Corporation Does Not Qualify For First-Time Home Buyer Credit

TaxTV Staff May 21, 2012 0

In a case of first impression, the U.S. Tax Court held that an S Corporation is not qualified to take the popular first-time homebuyer tax credit. The first-time homebuyer tax credit was a non-refundable

Should You Operate As An LLC Or As An S Corporation in California?

Jim Vander Spek May 9, 2012 0

Should you operate your small business as a Limited Liability Company (LLC) or as an S corporation? Ever since LLCs were permitted a few years ago, many new businesses have been told that it

S Corporation Shareholder Cannot Be a Roth IRA

TaxTV Staff March 23, 2012 3

An S corporation shareholder cannot be a Roth Individual Retirement Account (Roth IRA) according to the Ninth Circuit, affirming a U.S. Tax Court decision (Taproot Administrative Services, Inc., No. 10-70892 (9th Cir. 3/21/12), aff’g

8th Circuit Upholds Recharacterization of CPA’s S Corporation Compensation

TaxTV Staff March 2, 2012 1

The 8th Circuit affirmed the district courts finding that a portion of the profits received by an S Corporation shareholder was payment for services in David E. Watson, P.C. v. U.S. David E. Watson

TAGS » FICA, s corporation compensation

POSTED IN » News, Payroll Tax, S Corporation

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Subchapter S, or “S Corporations,” are a very popular entity type for businesses. Over 4.5 million S Corporation returns were filed with the IRS in 2010. But what is an S corporation and why is it so popular? The major tax benefit of electing to be treated as an S Corporation is that S Corporations are taxed as a pass-through entity wherein all income, losses, deductions, and credits are passed-through to the S Corporation shareholder and reported on the shareholder’s individual tax return. Learn about additional benefits of S Corporation election by reviewing our manuals and other information below.

S-Corporation Focus

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