Hiring Your Spouse & the Shellito Case

Western CPE (westerncpe.com) presents a preview of what to expect from our dynamic Federal Tax Update instructors this fall. In this episode, Sharon and Vern discuss:
• The ground breaking decision from the Appellate Court on Farmer Shellito's medical reimbursement deductions.
• The many tax advantages of hiring a spouse in a sole proprietorship.
• The best idea to give your client who is considering hiring (or who has already hired) his or her spouse to work in the business.
• And more...

Seats for our live seminars and webcasts are limited. Order today at westerncpe.com!

Category:

Education

[InnovativeCPE]

Because of attribution rules, the spouse of a 2% owner is considered an owner of the S corporation. Although there will be some FICA savings, income tax savings do not result. The maximum tax benefits are for the sole proprietor, partner or LLC member who hires his or her spouse. Vern Hoven

[smonakey]

Would this type of scenario also work for an S Corp where the only employees/shareholders are a husband & wife? It appears to me that it would.