Discover how to file taxes for S Corporations, from understanding their unique tax setup to avoiding common mistakes.

An S Corporation is an IRS tax classification that allows an eligible entity to be a pass-through entity for tax purposes. This means that the business owners will report their share of business ...

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Getting the choice of entity right at the start is crucial, since switching later can have tax and other consequences. Getting the choice of entity right at the start is crucial, since switching later ...

However, adopting the S corporation election could be one way to manage this burden effectively. By partitioning income into a reasonable salary and distributions, entrepreneurs can potentially ...

As clients' businesses evolve, it sometimes makes sense for them to change how their companies are taxed. And I expect that occasionally you've encountered clients who made a change at one point but ...

IRC section 1363(d) generally requires a C corporation that elects to become an S corporation to include a “Lifo recapture amount” in its gross income. The amount is the difference between the ...

CPAs can help their clients determine what is a reasonable salary to pay shareholder employees (SEs) of S corporations, thus satisfying an IRS priority to collect proper amounts of employment taxes.

S-corporation owners may deduct home-office costs by reimbursing through the company. To benefit, expenses must be documented and done under fringe-benefit rules. Deductions are limited by the S ...