This is a single-family/residential course.
Evaluating Corporations addresses the evaluation of tax returns for corporations and S corporations.
Businesses can incorporate as either a C corporation or as an S corporation. An S corporation is generally a smaller corporation.
A C corporation is more complex and costly to organize than other business structures, such as sole proprietorships and partnerships. Federal, state, and some local agencies monitor corporations and as a result may require more paperwork to comply with regulations. The owners of a corporation are its shareholders. The shareholders elect a board of directors to oversee the major policies and decisions.
A smaller corporation (with less than 75 shareholders, as defined by the IRS), may elect to file as a subchapter or S corporation. S corporations are small, closely held corporations operating more informally. Officers of a subchapter S corporation can be liable to stockholders for improper actions. Liability is generally limited to stock ownership, except where fraud is involved.
The module begins with a review of characteristics of partnerships. Next it looks at how to determine allowable income using Form 1120 and Form 1120S. Toward the end of the module, case studies give students the opportunity to practice the concepts presented.
Determine Allowable Income Using Form 1120 and Form 1120S
Seat time approximately one (1) hour.