Problem 1. Can the sec 1244 stock be preferred stock?
Problem 2. How low can the S corp owner set his own salary?
Problem 3. How are distributions taxed under an S corp?
Problem 4. Can an S corp owner forgo a salary for a distribution?
Problem 5. Is rental income considered active income?
Problem 6. How are C corporations different from and similar to S corporations?
Problem 7. Describe the three hurdles a taxpayer must pass if he wants to deduct a loss from his share in an S corporation.
Problem 8. How does the tax treatment of employee fringe benefits reflect the hybrid nature of the S corporation?