Course Description and Competencies

What to Expect

In this course, you will work through four modules, all of which are broken into lessons. Throughout the material, you will find chapter readings. There are practice quizzes at the end of each module, which are built from the textbook chapters. Engaging with these readings and quizzes reinforces new learning and complements the knowledge you bring to this area of study. 

Prerequisites:

This course is a prerequisite for Pass-Through Taxation.

Course Competencies

This course covers the following competencies:

  • The learner explains the formation, structure, and tax treatment for C corporations.
  • The learner calculates the tax effect of C corporation reorganizations, distributions, and liquidations.
  • The learner calculates the tax computations and credits for C corporations.
  • The learner explains international tax issues for C corporations.

Assessment

The final assessment provides an opportunity to demonstrate your mastery of the competencies in this course. You may attempt the final assessment two times before additional support is necessary. If you require further attempts, please contact your Student Experience Team.

1 Final Exam
3 Competency Units

Course Outline

ModuleUpon completion of this module, you will be able to:
Organization & Structure
  • Explain the tax implications of forming and structuring a C corporation, including incorporation, capital structure, and the tax treatment of debt versus equity financing.
  • Analyze shareholder and corporate basis issues, including the tax consequences of stock and debt transactions, gains and losses, and the assumption of shareholder liabilities.
  • Evaluate the eligibility criteria, advantages, and compliance requirements for filing consolidated tax returns, including key rules, deductions, and credit.
  • Apply tax rules governing consolidated groups, including the treatment of intercompany transactions, allocation of income, and limitations on losses and credits from separate return years.
  • Compare the tax treatment of C corporations to other forms of business entities, highlighting key differences in structure, reporting, and liability.
Business Operations
  • Compare the federal tax treatment of individuals and corporations, highlighting key differences in income recognition, deductions, and tax liability.
  • Apply tax rules unique to corporations, including those related to reorganizations, distributions, and liquidations.
  • Calculate corporate income tax liabilities, including regular tax computations and the application of corporate-specific tax provisions.
  • Explain the purpose and operation of additional corporate taxes, including the corporate alternative minimum tax, accumulated earnings tax, and personal holding company tax.
  • Describe corporate tax compliance and reporting procedures, including the preparation and interpretation of relevant tax forms and disclosures.
Corporate Financials
  • Explain and compute a corporation’s earnings and profits (E&P) and evaluate how E&P affects the tax treatment of corporate distributions.
  • Determine the tax consequences of corporate distributions, including taxable dividends, property dividends, stock dividends, and stock rights, for both the corporation and shareholders.
  • Identify and analyze constructive dividends and stock redemptions, and calculate the resulting tax implications for shareholders and the corporation.
  • Evaluate the tax consequences of complete liquidations and corporate reorganizations, including the effects on corporate taxable income and shareholder basis.
  • Describe how tax credits and adjustments apply to C corporation income tax computations, including special situations such as property distributions and reclassification of earnings.
International Transactions
  • Explain the framework underlying the U.S. taxation of cross-border transactions
  • Describe the interaction between Internal Revenue Code provisions and tax treaties
  • Determine the source of income for tax purposes, distinguishing between U.S.-sourced and foreign-sourced income and understanding its relevance for gross income inclusion and credit eligibility. 

Technology Requirements

We want you to have the tools to succeed! Since this course includes at least one proctored test, please be sure to have a working microphone, speakers, and an external webcam. Unfortunately, an internal webcam (built into many laptops) is not acceptable. (Note: The external webcam is required only for exams that have proctors. You do not need one for practice tests and other non-proctored assessments.) If you haven't already, be sure to download the Meazure Learning Guardian browser, which you will need for the proctoring system.

You will need Adobe Acrobat Reader DC. If you haven't already, download this free software. You may encounter an interactive form that contains fields that you can select or fill in. Review how to fill in a PDF form.

For other details about the technology you'll need, review the Computer System and Technology Requirements. If you have questions about your setup, contact support@academy.wgu.edu.

Key Contacts

Resource Hub
Check out the Course Lobby to take advantage of course resources, including videos and tips from our educators. There, you can ask and answer questions, provide feedback on your progress, and connect with fellow students. You will find this platform in the Student Resources section of the course. Log on and do some exploring! 

Technical Support
If you encounter technical issues, be sure to contact the Help Desk. Just submit a Support Request for assistance.

Program Support
Do you have questions about your account? Student Support has answers. They can help with billing, switching courses, and other requests. You can contact them at (888) 320-0540 or support@academy.wgu.edu.

Accommodations

WGU provides compliant and accessible learning experiences. If you require accommodation, please contact us at the start of the course. You can email disability@academy.wgu.edu.

We are committed to ensuring that all students with disabilities have equal access to WGU's services and materials. We strive to use best practices for accessibility. Our goal is to conform to existing U.S. laws, including the Americans with Disabilities Act and Section 504 and Section 508 of the Rehabilitation Act.

Our learning management system (LMS) platform is Open edX. Open edX’s commitment to accessible content is published in their Website Accessibility Policy.