Excess Net Passive Income Tax Calculator

The threshold for the enpi calculation is triggered when gross enpi is greater than 25 of gross receipts and the corporation has e p at year end.

Excess net passive income tax calculator. Also the passive income tax calculated using the lesser of excessive net passive income or taxable income. By reducing taxable income the s corporation is able to minimize the passive income tax. Taxable income if it was still a c corporation is 40 000. Available for pc ios and android.

Fill out securely sign print or email your excess net passive income tax instantly with signnow. Surplus net passive income. Surplus net passive income tax is calculated 35 of least of the following. The most secure digital platform to get legally binding electronically signed documents in just a few seconds.

A corp s surplus net passive income tax needs to be computed under following scenarios as shown below. We never spam and you can unsubscribe anytime. Keep in mind however that the s corporation election will still terminate if passive investment income exceeds 25 of gross receipts for three. Start a free trial now to save yourself time and money.