WageProof
WageProof: “Defensible reasonable compensation reports for S-Corp owners and their tax professionals, using the cost and market approaches from the IRS Job Aid with Bureau of Labor Statistics wage data, plus the income approach for tax professionals.”
Will this report hold up if the IRS asks questions?
“The three calculation approaches are the ones described in the Reasonable Compensation Job Aid for IRS Valuation Professionals, a 2014 reference guide written by IRS valuation professionals (it says it is not an official IRS position). The wage data comes from the Bureau of Labor Statistics.”
View in the company profileCan I see a sample report before I buy?
“Yes. There’s a full sample report on the site, no email required. Cost and Market reports of your own have the same format, data sources and methodology documentation.”
View in the company profileWhat is reasonable compensation?
“It’s the salary an S-corp must pay its owner-employees for the work they perform. The IRS requires it to be comparable to what someone in a similar role would earn in the open market. Getting it wrong can trigger penalties, back taxes, and interest.”
View in the company profile
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- WageProof
“Defensible reasonable compensation reports for S-Corp owners and their tax professionals, using the cost and market approaches from the IRS Job Aid with Bureau of Labor Statistics wage data, plus the income approach for tax professionals.”