❓ Why Post-Tax Season Is the Best Time to Revisit Reasonable Compensation for S Corp Clients 👉 READ MORE
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What’s New at RCReports? Introducing Benchmarking and the CYA Log

That's why we're excited to introduce two of our newest platform features: Wage Benchmarking and the CYA Log. Together, these enhancements help firms quickly identify potential Reasonable Compensation risk, determine…
Tax Planning July 9, 2026

Post-Tax Season Is the Best Time to Revisit Reasonable Compensation for S Corp Clients

Post‑tax season is the ideal time to step back and proactively review reasonable compensation for S corporation clients, before payroll decisions compound, distributions stack up, and next season’s issues begin…
Tax Planning May 26, 2026

Have S Corp Clients? Here’s a Better Way to Handle Reasonable Compensation

If your firm serves S-Corporation clients, reasonable compensation is not optional. It is a core compliance requirement and one of the most important areas to document properly. Yet many firms…
Best Practices May 4, 2026

Why Free Benchmarking Tools Fall Short in Determining Reasonable Compensation

When business owners hear the term reasonable compensation, many assume it’s as simple as pulling salary data from free sources like the Bureau of Labor Statistics (BLS), Glassdoor, PayScale, or…
IRS News, Updates & Guidance February 17, 2026

IRS CP261 Update: What Accountants Should Tell Their S Corp Clients

If you work with S corporations, you’ve probably seen the CP261 notice—the IRS letter confirming an S election. For years, it was a simple acknowledgment. That changed in late 2023.…
IRS News, Updates & Guidance January 7, 2026

Farm to Table, Physician

It started as a dream. In the middle of the pandemic, when hospitals overflowed and the world turned upside down, one traveling physician decided to slow down and build something…
Preparer Penalties October 31, 2025

32 Fishermen, 1 IRS Audit

Picture this: the icy waters of the Bering Strait, waves thrashing against rusty crab boats, and 32 rugged fishermen hauling in traps with heavy Alaskan king crab. For months, they…
Preparer Penalties October 29, 2025

The S Corp Owner’s Guide to Reasonable Compensation

Reasonable Compensation in a Nutshell   All S Corp shareholder-employees must pay themselves a reasonable salary (i.e. Reasonable Compensation) via W-2 BEFORE any distributions are taken. It’s the law. You…
Best Practices July 18, 2025

S Corp Tax Deductions You Should Know (And How Salary Affects Them)

Common S Corp Tax Deductions (And What to Know Before You Claim Them) Before diving into what your S Corp can write off, it’s important to start with how much…
Tax Planning July 16, 2025

How one Reasonable Compensation Report saved a Taxpayer $80,000+

Is credible data really that important? Yes. In one recent case, data convinced an IRS Examiner to abandon an unreasonable position, saving the taxpayer thousands of dollars. In the process,…
Court Cases & True Stories July 7, 2025

How Business Structures Impact Your Taxes

When starting a new business, one of the most important decisions to make is the business structure, which impacts your taxes. Learn how each business structure affects your tax obligations.…
Best Practices April 17, 2025

Reasonable Compensation Navigator for Cannabis Workers

Download our Simple Wins Guide today and learn how a reasonable compensation analysis can add value to your clients, discover how reasonable compensation affects everything from payroll taxes, tax planning strategies and so much more!

Client Advisory Services April 4, 2025

The S Corp 401(k): A Tax-Smart Retirement Tool

One of the things S Corporation owners should think about is setting up a  401(k) plan. These tax-advantaged accounts can be an important and effective tool to set aside the…
Tax Compliance April 1, 2025

Different Types of Business Entities and Their Impact on Your Compensation

If you want to engage in any form of commercial activity, as an individual or group of individuals, you will need to create a business entity. There are different types…
Entity Planning March 31, 2025

This S Corporation Was Audited—Here’s What Went Wrong

“It’s never happened to me.”  “I’m not going to take any reasonable compensation.”  “The IRS has never challenged my client’s compensation figures.”  If any of these thoughts resonate with you,…
Court Cases & True Stories February 20, 2025

Entity Risk is Real—Here’s How to Keep Businesses Secure

Think of a business entity like a suit of armor — you need the right balance of protection and flexibility to win the battle. Just like you wouldn’t enter a…
Entity Planning January 14, 2025

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