“dividends” are paid to shareholders in lieu of reasonable compensation for services performed for the S Corp. Read that again- “in lieu of” is paramount. Also, the word dividends is in quotations because in reality we call these shareholder distributions, but in 1974 they referred to ...
Form 1120-Sis essentially an S corp’s tax return. Often accompanied by aSchedule K-1, which delineates the percentage of company shares owned by each individual shareholder, Form 1120-S reports the income, losses, dividends, and other distributions that the corporation has passed to its shareh...
months or less from the date of acquisition, bankers’ acceptances with maturities not exceeding six months and overnight bank deposits, in each case, with any domestic commercial bank having capital and surplus in excess of $250.0 million and a Thomson Bank Watch Rating of “B” or better; ...