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Business Entities in 2025: C Corporations, S Corporations, and Partnership Conversions

Content Provider
American Law Institute CLE
Product
CLE
Run Time
93 Minutes
Recording Date
06/10/2025
Presenter(s)
Jerald David August
Learning Method
On-Demand Training
Practice Area
Taxation, Corporate and Business Law
Persona
CLE OnDemand

Price $259.00

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Description

Congress is working to make the favorable Tax Cuts and Jobs Act (TCJA) provisions permanent. The TCJA substantially reduced the rate of federal corporate income tax on C corporations relative to pass through entity owners. In addition, §199A provided a limited deduction narrowing the differential between C corporations and pass through entities but restricted relief to non-service businesses and included a ceiling limit. Other favorable TCJA aspects some hope to see extended include exit strategies for owners of C corporations in start-ups and non-service sectors, such as capital gains exclusions under §1202 or reinvestment deferrals under §1045—benefits largely unavailable to unincorporated business owners. With a possible TCJA extension (one that could include last-minute add-ons) and a summer Budget Reconciliation Bill prospect, now is the opportune time to assess the tax implications of entity selection and conversions. This webcast will cover need-to-know tax considerations and strategies for conversions large and small - register today! In these uncertain times, how should taxpayers—and their counsel—approach tax planning, formation, and entity conversion decisions? During this deep-dive presentation we’ll share some answers as we explore: - Choice of business entity in light of extension of TCJA 2017 by Congress - Tax rate differentials for domestic business operations and non-US source income - Application of §199A with respect to qualified business income - Exclusion of gain under §1202 and related provisions - Immediate expensing of research and development costs and investment and equipment - Tax consequences with respect to entity conversions and traps for the unwary - Check-the-box election do’s and don’ts - Estate tax impacts Tax attorneys, CPAs, corporate tax departments, in-house counsel managing tax risk, financial professionals advising clients on complex tax and formation matters, and anyone else working in taxation will benefit from watching this webcast.

Literature

State Status Total Credits Type Of Credit Approved Thru
AlabamaApproved1.50General12/31/2025
AlaskaApproved1.50GeneralOn-going
ArizonaApproved1.50GeneralOn-going
ArkansasApproved1.50GeneralOn-going
CaliforniaApproved1.50Participatory06/10/2030
ColoradoApproved2.00General12/31/2027
ConnecticutApproved1.50GeneralOn-going
DelawareApproved1.60General06/09/2027
FloridaApproved2.00General04/30/2027
GeorgiaApproved1.50General12/31/2025
HawaiiApproved1.50General06/10/2027
IdahoApproved1.50General06/10/2030
IllinoisApproved1.50General08/24/2027
IndianaApproved1.50General09/25/2026
IowaApproved1.50General06/09/2026
KansasApproved1.50General08/27/2026
KentuckyApproved1.50General06/30/2026
LouisianaApproved1.55General08/27/2026
MainePending State Response0.00
MinnesotaApproved1.50General09/10/2027
MissouriApproved1.90GeneralOn-going
MontanaApproved1.50General06/10/2028
NebraskaApproved1.55General06/09/2027
NevadaApproved1.50General12/31/2028
New HampshireApproved1.60General06/09/2028
New JerseyApproved1.50GeneralOn-going
New MexicoApproved1.60General06/09/2030
New YorkApproved1.50SkillsOn-going
North CarolinaApproved1.50General02/28/2026
North DakotaApproved1.50General06/10/2028
OhioApproved1.50General12/31/2025
OklahomaApproved2.00General09/17/2026
OregonApproved1.50General06/10/2028
PennsylvaniaApproved1.50General08/27/2027
Puerto RicoApproved1.55General10/19/2026
Rhode IslandApproved1.50General06/30/2026
TennesseeApproved1.55General08/27/2026
TexasApproved1.50General08/31/2026
UtahApproved1.50General12/31/2025
VermontApproved1.50GeneralOn-going
VirginiaPending State Response0.00
WashingtonApproved1.50General06/09/2030
West VirginiaApproved1.86GeneralOn-going
WisconsinApproved1.50GeneralOn-going
WyomingApproved1.50General08/27/2026

Speakers