C Corporations for dummies manage taxation and dividends for C Corporations

Introduction

Different taxation rules apply to C and S corporations. The tax liability of a C corporation is separate from its owners, and thus a C corp is subject to double tax: The corporation’s profit is taxed when earned and taxed again when distributed to shareholders as dividends. According to the IRS, the corporation does not get a tax deduction when it distributes dividends to shareholders and shareholders cannot deduct any loss of the corporation. This is primarily how a C corp differs from an S corporation; an S corp can avoid c by passing corporate income, losses, deductions and credits to shareholders who then report the flow-through on their personal tax returns, under IRS tax rules.

Why should you attend?

This session with taxation expert Vicki Mulak EA, CFP®, will explore the various phases of a C corporation’s life – from how it comes into existence to how it is maintained as a state law entity. Vicki will focus on return preparation issues including managing start-up costs, capitalization, shareholder compensation, net income for book and tax, net operating losses and dividends. You will get examples of common scenarios with calculations and completed tax forms.

Learning Objectives

• Understand how a C corporation is formed and capitalized
• Gain confidence in calculation and reporting of a C corporation dividend
• Understand issues affecting personal service corporations (PSCs)
• Recognize transactions eligible for the qualified small business stock exclusion
• Increase awareness of advantages and disadvantages of the C corporation
• How to effectively secure and/or retain fiscal years for various types of C corporations
• Managing passive activity losses in the C corporation

Areas covered in the Webinar

• Personal service corporations (PSCs)
• Fiscal years
• Paying dividends
• Accumulated Earnings Tax (AET)
• Extension of time to pay taxes for current year due to NOL carry backs
• C corporation as a “real estate professional”
• Corporate conversions to other business entity types

Who Will Benefit?

• Certified Public Accountants (CPAs)
• Enrolled Agents (EAs)
• Other tax professionals involved with S corporation tax returns and the tax returns of the S corporation’s shareholders

Speaker : Vicki Mulak

Vicki Mulak, EA, CFP® is best known for her tax updates and business entity presentations. She testifies before the California Franchise Tax Board (FTB), has served on the FTB Advisory Board, and continues as a participant on the California Employment Development Department’s Small Business Advisory Committee. She testifies annually at the Taxpayer Bill of Rights Hearing, and stays involved in California tax legislation sponsored by the California Society of Enrolled Agents (CSEA). Her awards include the 2012 NAEA Bill Payne Advocacy Award, the 2011 CSEA Distinguished Service Award and the 2006 CSEA Thomas P Hess Award. Her BS in Business Administration is from Thomas Edison State University in NJ, and her tax practice of 30 years, is located in Tustin, CA.

 Time: 01:00 PM EST| 10:00 AM PST | Duration: 90 Minutes