Constructive dividend

Corporate Tax Act Essay

The resolution stipulated that any overpayment of income disallowed as a deduction by the IRS can be repaid for the Osprey Firm. In late 2010 during an audit by IRS, $200, 000 of Patrick’s compensation, and $150, 000 of Dan’s settlement were recharacterized as helpful dividends. This was done for the reason that salaries were […]