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https://taxes.uslegal.com/articles/irs-treatment-of-loans-to-officershareholder/
First, the case of Rogers v. Commissioner T.C. Memo 1993-444 (1993) conclusively held that the officer/shareholder bears the burden of demonstrating that amounts received from the corporation are indeed loan proceeds, rather than taxable compensation for services provided. The court outlined certain conditions beneficial for the taxpayer to ...
https://www.lawinsider.com/clause/loans-to-officers
Loans to Officers. Make any loans or advances to its shareholders or officers in excess of $500,000 to any individual officer or shareholder or $2,000,000 in …
https://www.dorsey.com/newsresources/publications/2002/08/sarbanesoxleys-new-ban-on-loans-to-directors-and__
August 16, 2002. SARBANES-OXLEY’S NEW BAN ON LOANS TO DIRECTORS AND EXECUTIVE OFFICERS: WHAT YOU NEED TO KNOW NOW. Effective July 30, 2002, Section 402 of the Sarbanes-Oxley Act of 2002 amended the Securities Exchange Act of 1934 to prohibit U.S. and foreign companies with securities traded in the United States from making, or arranging for …
https://www.irs.gov/businesses/small-businesses-self-employed/paying-yourself
https://www.jstor.org/stable/40683336
corporation lent surplus funds to its treasurer for use in a personal business enterprise. It was held that such a loan was not ultra vires, and that a corporate officer could borrow money from the corporation in his individual capacity without any necessary imputation of fraud. Similarly, in Felshenheld v. Block Brothers Tobacco Co., 119 W. Va.
https://www.irs.gov/businesses/small-businesses-self-employed/s-corporation-employees-shareholders-and-corporate-officers
Ghosn v. Comm’r, T.C. Memo. 1995-192. Purported “loans” from S corporation to its sole shareholder, officer, and director, were wages for purposes of FICA and FUTA taxes. The loans were unsecured demand notes bearing no interest, loans were made entirely at the discretion of shareholder, and the shareholder regularly performed substantial ...
https://www.fundera.com/blog/giving-employee-a-loan
Loan amount: If you are going to offer employee loans, set aside a specific amount to be used in the loan program. Also determine exactly how much you will lend to employees. You may want this to be a fixed amount, or a percentage of the employee’s salary. Loan term: Generally, employee loans have shorter terms of two to three years max. This is because it …
https://quickbooks.intuit.com/learn-support/en-us/help-article/accounting-bookkeeping/record-company-loan-company-officer-owner/L24scnR7O_US_en_US
The first step in recording a loan from a company officer or owner is to set up a liability account for the loan. Depending on the repayment time frame, the Account Type can be Other Current Liabilities (to be paid in full in one year) or Long Term Liabilities (to be repaid over more than one year). To set up the account: Go to Settings ⚙.
https://www.upcounsel.com/personal-liability-of-corporate-officers
Limited Liability. 4. Fiduciary Duties. Personal liability of corporate officers comes with being an officer of a corporation. While you are able to serve as a strategic thinker, be looked upon as a visionary, and maintain a profitable venture, it can also be quite dramatic. Many corporate officers face the temptations that come with corruption ...
https://www.accountingcoach.com/blog/employee-loans
Definition of Loan to Employee. A loan to an employee is money advanced by the company to assist the employee. If the employee is expected to repay the loan within one year of the balance sheet date, the loan balance is a current asset of the company. Any amount not expected to be collected within one year is a noncurrent or long term asset. It is common for the loan to an …
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