More focus on executive compensation compliance

California CPA, May, 2005

Since executive compensation has become increasingly complex, the IRS is stepping up examinations to ensure compliance with employment and income tax requirements.

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Areas of particular scrutiny include:

* Transfers of compensatory stock options to related persons;

* Nonqualified deferred compensation;

* Stock-based compensation

* IRC 162(m) salary deduction limitation;

* Fringe benefits; and

* Golden parachutes.

To learn more, visit www.irs.gov/businesses/corporations/article/0,,id=135045,00.html.