C Corp v/s S Corp Tax Strategies for Client Decisions (Video) (Course Id 2746)

• Who is this course for?
  This course is intended for CPAs, accountants, and IRS Enrolled Agents seeking Continuing Professional Education (CPE), particularly those advising clients on corporate tax strategies.

• What is this course about or what problem does this course solve?
  The course focuses on the tax differences between C corporations and S corporations, helping professionals understand how these distinctions affect profit allocation, retained earnings, and shareholder distributions.

• How can the knowledge from this course be used?
  Participants can use the knowledge to guide clients in choosing between C and S corporation structures by analyzing tax implications aligned with business growth, succession planning, and shareholder goals.

• Why is this course important to a CPA, Accountant, or IRS Enrolled Agent?
  It equips professionals with practical tools and real-world scenarios to compare tax strategies and provide value-added guidance in corporate entity decision-making.

• When is this course relevant or timely?
  This course is relevant whenever clients are forming a business, restructuring, or revisiting their corporate tax structure in light of strategic planning or tax law changes.

• How is a course like this consumed or used?
  This video-based self-study course is completed online at the learner's own pace and includes review questions and a final exam requiring a passing score of 70% to earn CPE and IRS credits.

When clients ask about choosing between a C corporation and an S corporation, the decision goes far beyond legal paperwork. Each entity type carries distinct tax consequences, planning opportunities, and long-term implications for business owners and their shareholders. Advisors who can clearly explain these differences add real value to client conversations and strategic planning.

This CE course takes a practical look at the tax treatment of C and S corporations, focusing on how profits, distributions, and retained earnings affect both the company and its shareholders. We’ll break down how tax liability shifts under each structure, and why those shifts matter when clients are evaluating growth goals, succession strategies, or shareholder objectives. Real-world examples and client scenarios will highlight how to frame the decision-making process in ways that resonate with business owners.

Major Topics:

• Profit allocation and taxes
• Retained earnings implications
• Distribution tax treatment
• Built-in gains risks
• Entity election strategies

By the end of this CE course, you’ll have the tools to compare C and S corporation tax outcomes with confidence. Equip yourself to guide clients through entity decisions that align with both business goals and shareholder objectives.

Video - NASBA QAS - NASBA Registry - IRS Enrolled Agents - 2746

Course Learning Objectives

• Discuss when an S or C election provides tax advantages.
• Analyze retained earnings and distribution consequences in both corporation types.
• Identify risks associated with the built-in gains tax after election.
• Explain entity election choices and anticipate implications of future changes.
• Explore frameworks for guiding client decisions on corporate tax structures.

Chapter 1 - C Corp v/s S Corp Tax Strategies for Client Decisions

Chapter 1 Review Questions

Glossary of Key Terms