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https://pocketsense.com/officer-life-insurance-deductible-8558318.html#:~:text=Officer%20and%20employee%20life%20insurance%20are%20deductible%20to,under%20the%20contract%2C%20the%20premiums%20are%20not%20deductible.
https://pocketsense.com/officer-life-insurance-deductible-8558318.html
Officer and employee life insurance are deductible to the company if the officers and employees themselves are the beneficiaries. However, this doesn't provide any financial benefit for the company in the event of a death. If the company itself is a beneficiary under the contract, the premiums are not deductible.
https://myboyum.com/business-tax/officer-life-insurance/
The same theory applies to businesses. The officer life insurance premiums are not deductible so they are backed out as a “book expense not deductible”. Then the proceeds would be recorded as “book income not taxed”. In recent years the IRS came out with Form 8925 to report more information on life insurance contracts.
https://www.lifeant.com/can-i-claim-life-insurance-as-a-business-expense/
For employees and officers of a business, if the premiums of a life insurance policy are paid for directly by the company, and the company is not a beneficiary (either direct or indirect), the premiums can be deducted as long as the death benefit is …
https://www.justanswer.com/tax/1kzpq-life-insurance-corporate-officer-tax-deductible.html
Can term life insurance on S-corporation officer who is 100% Can term life insurance on S-corporation officer who is 100% shareholder and her husband who is an employee of the same S-corporation be deducted … read more Lev Tax Advisor 60,570 satisfied customers Can term life insurance on Corporate officer and his wife be
https://www.finder.com/are-life-insurance-premiums-tax-deductible
If the corporation is a beneficiary or receives compensation when the employee dies, the premiums are not deductible. This includes corporate-owned life insurance policies taken out on behalf of employees. Though this type of insurance can provide protection against the loss of a key employee, monthly premiums are not tax-deductible.
https://affordablelifeusa.com/tax-deductible-life-insurance/
The premiums you pay for life insurance policies intended to provide for your family in the event of your death are not tax-deductible, even if you pay the premiums from your business checking account. However, if you have a life insurance policy for protecting your business assets, life insurance premiums are tax-deductible.
https://www.policygenius.com/life-insurance/is-life-insurance-tax-deductible/
Employers offering life insurance as an employee benefit Owners of certain types of businesses, including LLCs and S corporations, can deduct premium payments they make for their employees. To qualify, you have to provide life insurance as an employee benefit and neither the business owner nor the company can be the policy’s beneficiary.
https://www.insurist.com/life-insurance/are-life-insurance-premiums-a-deductible-business-expense/
For C Corporations, premiums aren’t a deductible expense if shareholders have policies through the company and the company is the beneficiary. In this situation, the life insurance benefit is also a taxable fringe benefit. Self-employed people and freelancers are not eligible to deduct their life insurance premiums as a business expense either.
https://www.journalofaccountancy.com/issues/2000/jan/companyownedlifeinsurance.html
deduction is allowed for interest paid or accrued on any debt with respect to company-owned life insurance policies covering current or former officers or employees of any current or former trade or business carried on by the company or any individual with a financial interest in such trade or business. Key persons.
https://www.thetaxadviser.com/issues/2016/apr/life-insurance-and-s-corporation-rules-present-opportunity-and-peril.html
This is precisely what Rev. Rul. 2008-42 concludes—that premiums paid on corporate-owned life insurance do not reduce AAA, presumably based on a conclusion that those premiums are expenses related to income that would be nontaxable under Sec. 101.
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