Navigating the complexities of tax compliance for S-Corp shareholders’ reasonable compensation is a challenging aspect of corporate taxation. This session is designed to address the intricate details and critical components necessary for understanding and complying with these requirements. It delves into various factors such as the services provided by the shareholder, the S-Corp’s profit, other income earned by the shareholder, and distributions paid. Participants will learn to develop comprehensive plans and processes for determining each S-Corp shareholder’s reasonable compensation, ensuring compliance with IRS standards. The course also offers strategies to support lower salaries and evaluate audit exposure risks, providing a clear understanding of the IRS’s considerations in a reasonable compensation audit, including nationwide salary data, return on capital invested, and distributions recorded as loans. This session is crucial for professionals seeking to enhance their expertise in S-Corp taxation and safeguard their clients from potential compliance issues.