Tax Rules - General Principles re Executive Compensation

    > see also: IRS correction program (for tax-qualified retirement plans)

Relevant Code Sections

Special Issues

  • Compensatory Loans to Employees - Bachelder 2001 Article re IRS Tech Advice Memo 200040004 (10/6/2000).
  • Constructive Receipt
    • ​​Comprehensive white paper with extensive case cites (from 2008).
  • Controlled Group Determinations - discussed here.
  • Merger & Acquisition Issues, such as Earn-outs - discussed here.
  • Reasonable Compensation - required for Code 162 deduction.
    • ​​See Navigating Tax Risks In Shareholder-Executive Compensation (by Natasha Perssico Escobedo, BNA 9/27/2018). For a copy, send email request.
  • Withholding Rules - discussed here.

​New Developments:

  • 2012  Section 83(b) Elections. In Revenue Procedure 2012-29, the IRS elaborated on Code Section 83(b) election procedures by providing a model election form and a number of examples explaining the consequences of making a Code Section 83(b) election.