S Corporation Update: Developments You Need to Know (Completed)

We’ll cover a brand new “Practice Unit” released by the IRS in 2020. We’ll also cover new cases, changes in Form 1120S, and new administrative guidance.

Topics Covered

• Deducting state and local taxes imposed on an S corporation from ordinary income
• The Employee Retention Credit
• Deducting expenses used to produce PPP forgiveness and when the basis increase occurs
• Big changes to Form 1120S Schedule K-1
• Basis increases for shareholder debt
• Applying for a "second draw" PPP loan for an S corporation

Learning Objectives

• Identify where to deduct state and local income taxes imposed on an S corporation
• Recognize when PPP forgiveness increases a shareholder's stock basis
• Identify circumstances where shareholder loans increase basis for purposes of deducting shareholder losses

Level
Update

Instructional Method
Group: Internet-based

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
Basic understanding of S Corporations.

Advance Preparation
None