Optimize Tax Savings Allocating Passthrough Items to S-Corp Members

S corporations offer a valuable perk: the flexibility to allocate income and losses among their owners as needed. In practical terms, one owner can receive a ... In a stock sale, the buyer purchases the S corp stock, taking on all the assets and liabilities of the company. With this process, the ownership ... ... S-corporation shareholder lends to, or borrows from, a passthrough entity. ... corporation for purposes of allocating items to an excepted ... ... shareholder's pro rata shares of items ... allocated to some partners or shareholders cannot be redistributed to other partners or shareholders. ... involved with distributions from pass-through entities (partnerships, S corporations, and fiduciaries) to members (partners, shareholders, and beneficiaries) S corporation shareholders include their share of the corporation's separately stated items ... allocation must be used unless the shareholders and the PA S ... Shareholders doing business both within and outside Indiana must also determine their taxable income from Indiana sources through the use of the allocation and ... The allocation of shareholder items among shareholders should be consistent with the allocations made on the federal Schedules K-1. Alternative allocations ... ... items of income or deduction of an estate or trust. (b) Shares of fiduciary ... S corporation stock that is treated as a separate trust pursuant to ... each of their partners and shareholders, reporting how much income or loss they allocated to that ... Not all partnership and S corporation line ...