Description
Gain an understanding of when an employer may take a tax deduction for an annual bonus and deferred compensation payments.
Many employers do not fully understand all of the events and timing considerations that impact when an annual bonus or deferred compensation payment to a service provider may be deducted by the employer. Additionally, employers often struggle with determining which entity is entitled to the tax deduction for compensation paid to service providers upon a merger or acquisition. Finally, employers typically have questions with respect to the impact of 162(m) and how to apply the rules in certain circumstances. This topic helps employers determine when an annual bonus payment or payment of deferred compensation to a service provider may be deducted and understand each of the determining factors. The material also explains compensation issues typically encountered upon a merger or acquisition. Additionally, the material covers the latest guidance with respect to 162(m) and provides examples of how to apply the rules. Finally, the material addresses taxation and accounting methods for equitybased compensation.
Date: 2023-04-17 Start Time: 1:00 PM ET End Time: 2:40 PM ET
Learning Objectives
* You will be able to describe when an employer may take a tax deduction for an annual bonus and deferred compensation payments.
* You will be able to identify which employer is allowed the tax deduction for compensation in the event of a change in control.
* You will be able to explain the impact of 162(m) and how to properly apply the rules.
* You will be able to discuss the tax and accounting treatment of various equitybased awards.