EST2603. Estates and Trusts: S Corporation Shareholders

Navigating S corporation rules for estates and trusts can be complex, and missing an election or misinterpreting shareholder eligibility can lead to compliance challenges. This course equips practitioners with essential guidance on S corporation ownership by trusts and estates. You will gain clarity on when and for how long estates and trusts may hold S corporation stock, what qualifies a trust or estate as an eligible shareholder, and the practical considerations surrounding shareholder elections. Real‑world scenarios illustrate how to identify and resolve common issues, such as missed elections or inadvertent terminations, before they escalate.

Learning Objectives:

• Identify eligible estate and trust S corporation shareholders.
• Determine when an S corporation shareholder election is required.
• Analyze the income taxation of a trust or estate S corporation shareholder.
• Identify relief provisions for inadvertent S corporation terminations.