Course Description: This course is designed to acquaint you with the principle rules applicable to qualification as a small business corporation under Subchapter S of the Internal Revenue Code. This course will introduce you to the principle eligibility criteria contained in Subchapter S.

Course Level: Basic

Course Prerequisites: None

Delivery Method: Self-study

At the end of this course, you will be able to: 

• Understand what a small business corporation is in the context of Subchapter S; 
• List the four (4) basic eligibility requirements for taxation under Subchapter S; Identify the corporate requirements under Subchapter S; 
• Understand how the definition of a domestic corporation is independent of corporate status under state law; 
• Describe the different treatment of affiliated groups before and after January 1, 1997; 
• Understand the basic requirements of qualified S corporation subsidiaries; 
• Identify the three (3) other common types of ineligible corporations under Subchapter S; 
• Identify the basic limit on S Corporation Shareholders;
• Understand how to determine the number of shareholders when multiple members of a family own stock; 
• Determine the number of shareholders in cases where stock is held jointly, by nominees, or in trust; 
• Understand the basic requirements allowing various types of trusts to own S corporation stock; Identify the conditions under which estates and tax-exempt organizations may own S corporation stock; and 
• Describe the consequences of S corporation stock being owned by partnerships and nonresident aliens.

CPE

2

CLE

N/A