Master the complex rules for late S elections, disproportionate distributions, and share sales to avoid costly tax mistakes.
S-corporation taxation consists of many components. There are helpful elections you can make that can potentially save your client money, alongside rigid rules that must be adhered to. For example, having more than one class of stock can terminate an S-election. Learning how to successfully navigate these rules can make all the difference. In this course, we will discuss some of the more common specialty areas experienced by practitioners: late filing relief for S-elections, disproportionate distributions, and selling S-corporation shares. While these items may not come up on every single Form 1120-S, you will be able to add more value to clients when they do.
Additionally, the program unpacks the severe risks associated with disproportionate distributions, highlighting how such actions can trigger the accidental creation of a second class of stock and lead to the catastrophic termination of the S-election. Finally, the course examines the intricate tax mechanics involved in selling S-Corp shares, covering necessary basis adjustments, gain and loss calculations, and the proper allocation of income during the year of a sale. Designed for tax and accounting professionals, this comprehensive overview clarifies advanced S-Corp scenarios to help practitioners safeguard corporate tax benefits and ensure seamless business transitions.
Who Should Attend:
Tax and financial advisors who have clients who have formed S-corporations.
CPA, CFP, CLU, CPCU, MST, MBA
David Peters is the Founder and Owner of Peters Professional Education in Richmond, VA. He is registered with the U.S. Securities and Exchange Commission (SEC) as an Investment Advisor Representative (IAR) with Peters Financial LLC. He brings over 20 years of experience in financial services, including three years in the hedge fund industry and six years in insurance. David was the first Chief Financial Officer of Compare.com, where he served for more than three years. He holds four master’s degrees, contributes frequently to professional publications, and is a nationally recognized CPE instructor and discussion leader for Surgent seminars and a former instructor for Don Farmer. David received the AICPA Outstanding Facilitator Award in 2021, 2023, and 2024 as well as Surgent's Outstanding Discussion Leader awards in 2019 and 2022. He also co-authored the Virginia CPA Ethics course in 2018, 2019, and 2020, which is a requirement for all CPAs licensed in Virginia. Through Peters Professional Education, David is the author and instructor for over 125 recorded on-demand CPE courses and leads private trainings, in-person tax seminars, and quarterly live tax update webinars. His areas of instruction include accounting, finance, insurance, financial planning, and ethics, and he regularly teaches professionals across the United States.
