This course guides accountants and staff through the fundamentals of S corporation rules from formation through distributions and how they impact the Form 1120S. Participants also learn how S corporation income and expenses flow into the shareholder's returns. Numerous worksheets for AAA, stock basis, etc. are included in the manual, including a 6-step process to accurately complete Form 1120S and related sub-schedules.

• Complete coverage of The Small Business and Work Opportunity Tax Act of 2007
• Gain a thorough understanding of federal income tax law for S corporations from initial eligibility and election procedures to Form 1120S tax return preparation procedures
• Accurately prepare or review Forms 1120S, 8825 and supporting schedules for S corporations and reconcile book income on the trial balance to taxable income by following 6 basic steps
• Identify, plan for, and properly report any S-level built-in-gain or passive income tax liability
• Learn about properly preparing and allocating to the K-1 schedule
• Understand operational issues, keeping track of AAA, and how to calculate basis, apply distribution rules, and avoid loss limitations

Field of study: Taxes