A Longstanding Focus of the IRS When Examining a Return

question 49

Essay

A longstanding focus of the IRS when examining a return of an S corporation is whether reasonable compensation was paid to the S corporation shareholders who work for the corporation. S corporations and their shareholders are inclined to pay too little of compensation in order to reduce payroll taxes. Why might the auditors of a state tax agency be more concerned that an S corporation paid too much compensation to the shareholders?

Understand how attitudes and persuasion strategies affect behavior and social interactions.

Analyze the role of personal dispositions vs. situational influences in behavior explanation.

Explore the effects of perspective changing exercises on attribution biases.

Understand the peripheral route to persuasion and its characteristics compared to central route persuasion.

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Definitions:

Clock Proteins

Molecular components that constitute the biological clock, regulating circadian rhythms in organisms by oscillating in a 24-hour cycle.

Biological Clocks

Mechanisms by which activities of organisms are adapted to regularly recurring changes in the environment. See circadian rhythm.

Feedback Loops

Systems within biological and ecological processes that regulate themselves through cycles of feedback information.

Sign Stimulus

A specific trigger from the environment that elicits an innate behavior in an animal.