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Understanding Corporate Taxation: Formation and Shareholder Compensation (CTF2)

Wednesday, August 26, 2026
10:00 AM - 12:00 PM (Eastern)

Dave Peters, CPA, CFP, CLU, CPCU, MST, MBA

  • Format Webinar
  • Credits 2.00
  • Level Intermediate
  • Field of Study Taxes (2)
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$119.00


Overview

When a new business is formed, there are a lot of questions. What is the most tax-advantageous way to structure the entity? What issues do we need to be aware of? How should owners pay themselves? For corporations, these questions are even tougher since they are regulated so heavily. In this course, we will discuss how new shareholders can form a corporation tax-free. We will also discuss how basis is calculated for the shareholders, including what to do when debt is involved. Finally, we will discuss different ways that shareholders may be compensated and the pros and cons of each.

Major Topics:

  • Contributions of property at formation
  • Basis after the initial transfer
  • Implications of boot
  • Property transferred that is encumbered by debt
  • Stock acquired through gift or inheritance
  • Reasonable compensation
  • Withholding on bonuses
  • ISOs and non-qualified stock options
  • Restricted stock and Section 83(b) elections
  • Compensation and deduction timing

Learning Objectives

  • Identify the necessary elements for a tax-free corporate formation under Section 351
  • Understand when property encumbered by debt may create a gain for a contributing shareholder
  • Recognize the elements of reasonable compensation
  • Identify the tax implications of incentive stock options (ISOs)

Who should take this course:

Accounting and finance professionals with corporate tax clients

A basic understanding of corporate tax laws

None

Yes

No

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