RESEARCH MEMO Our new client is President and sole shareholder of Techstar Inc. a small...
80.2K
Verified Solution
Link Copied!
Question
Accounting
RESEARCH MEMO Our new client is President and sole shareholder of Techstar Inc. a small but rapidly growing C Corporation that manufactures and sells electronic components. The President's compensation for the current year is $ which includes both salary and bonuses. I am concerned that if the IRS where to audit Techstar Inc. that they would raise the issue of unreasonable compensation for the President. Please submit to me a well thought out memo to pages on the following: How might the IRS claim that a portion of the President's compensation is unreasonable? What specifically could we suggest to help our client mitigate the potential unreasonable compensation issue raised by the government? NOTE: You may use any and all materials including but not limited to the textbook, RIA Checkpoint, the IRS website, IRS Code and REGS., Case law 
RESEARCH MEMO
Our new client is President and sole shareholder of Techstar Inc. a small but rapidly
growing C Corporation that manufactures and sells electronic components. The
President's compensation for the current year is $ which includes both
salary and bonuses. I am concerned that if the IRS where to audit Techstar Inc. that
they would raise the issue of unreasonable compensation for the President. Please
submit to me a well thought out memo to pages on the following:
How might the IRS claim that a portion of the President's compensation is
unreasonable?
What specifically could we suggest to help our client mitigate the potential
unreasonable compensation issue raised by the government?
NOTE: You may use any and all materials including but not limited to the textbook, RIA
Checkpoint, the IRS website, IRS Code and REGS., Case law
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.