Author: Anonymous

Generally, if the corporation has accumulated earnings in excess of $_____, then the further accumulation of income to pay life insurance premiums for key employees may expose the corporation to the accumlated earnings tax.

An employer can use a restricted stock plan to

The law firm of Willie, Cheatum, and Howe is structured as a professional corporation that has three key employees between ages 39 and 43, two law clerks in their late 20s, and two secretaries, both age 31. The three key employees earn $500,000 per year. The law clerks are paid $30,000 and the secretaries are paid $15,000 annually. Turnover for both the law clerks and secretaries has been rather high, with at least one law clerk and one secretary leaving about every 6 months for the past year. Characteristics of the firm that would make a cross-tested plan a less than optimal solution for the firm include

Sal Holbert receives restricted stock in 2015 that is deemed for tax purposes to be substantially vested in 2013

Advantages of an age-weighted plan include each of the following, except

All of the following are true about an age-weighted plan, except

Disadvantages of restricted stock plans from the view of the employer include all of the following, except

An employer can use a restricted stock plan to

Which one of the following must be avoided by S corporations using a restricted stock plan?

Disadvantages of restricted stock plans from the view of the employer include all of the following, except