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Discussion Forum Index --> Tax Questions --> CCorp Officers' Salary Accrual
Hermien (talk|edits) said:
| 24 August 2006
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| If the CCorp has a fiscal year-end of 06/30/2006 and its officers have a calender year-end, can the corp accrue and expense officer salaries in June 06 and pay the salaries in August 06. The officers would include the salaries in their 2006 income.
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JR1 (talk|edits) said:
| August 24, 2006
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| Only if they're not owners...otherwise, no. The pain of the C, you have to pick the bonus before the year is done....
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Michaelstar (talk|edits) said:
| 24 August 2006
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| Not if they are shareholders. 2 1/2 rule does not apply in this situation.
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Hermien (talk|edits) said:
| 24 August 2006
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| 2 1/2 month rule should apply if ownership of 50% or less (IRC 267)
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Riley2 (talk|edits) said:
| 24 August 2006
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| I agree with Hermien. The no-accrual rule generally does not apply to minority interest holders.
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