S-Corp Tax Health Check
A flat $349 diagnostic of your S-corp's payroll and reasonable compensation, QBI deduction, shareholder basis, and state filings (including California), with written findings from an Enrolled Agent. The fee is credited toward the full report if you take the next step.
Secure checkout via Stripe. Prepared by an Enrolled Agent. Final scope confirmed in writing before any work begins.
In short: The S-Corp Tax Health Check is a flat-fee diagnostic for existing S corporation owners: an Enrolled Agent reviews your payroll and reasonable compensation, QBI deduction, shareholder basis, and state filings including California, then delivers written findings. The fee is credited toward the full report if you take the next step.
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What's Included
- Reasonable compensation vs. distribution review
- QBI (Section 199A) deduction check
- Shareholder basis review
- Accountable plan status check
- State filings review, including California franchise tax and Statement of Information
- Payroll filings review (Forms 941, 940, and state equivalents such as the DE 9)
- Written findings from an Enrolled Agent
Timing: Scope and timing are confirmed in writing before an engagement begins.
Not included:
- Full S-Corp Health Report ($795 - $1,250, with the diagnostic fee credited)
- Implementation work such as payroll setup or amended returns (quoted per case)
What Happens After You Purchase
- 1Secure checkout via Stripe
- 2Your client portal invitation arrives by email
- 3Upload your documents securely
- 4Prepared and delivered by an Enrolled Agent
"Arc & Ledger provided exceptional service, making my tax preparation seamless and stress-free."
- Christian S.
How Your S-Corp Is Set Up Today
The S-corporation can be a tax-efficient structure, and it has several moving parts that drift over time: owner salary set years ago and never revisited, distributions taken without tracking basis, a QBI deduction that may be smaller than the facts allow, or a California Statement of Information that lapsed. Small gaps can add up.
Physician in California? See our physician guide.
The S-Corp Tax Health Check is a structured, flat-fee diagnostic. An Enrolled Agent reviews six core areas of your setup and delivers written findings: what looks in order, what may need attention, and what we recommend doing about it. If you move on to the full report, your $349 is credited in full.
Prefer to start with an estimate? Free calculators on this topic, including a reasonable compensation estimator, are available through our AI tools.
Why This Matters
Reasonable compensation is one of the most frequently examined S-corp issues, and basis errors can turn tax-free distributions into taxable income. Reviewing these questions on a planned schedule is generally simpler than addressing them after a notice arrives.
S-Corp Tax Health Check
- Reasonable compensation vs. distributions
- QBI (Section 199A) deduction check
- Shareholder basis review
- Accountable plan status
- California franchise tax and Statement of Information
- Payroll filings: Forms 941, 940, DE 9
- Written findings from an Enrolled Agent; timing confirmed in writing
Free Screening Tool
Answer a few facts and see a preliminary read, calculated in your browser. No documents, no signup, nothing stored on our servers.
S-Corp Health Check: free 2-minute screening
Answer a few facts - no documents, no signup. You see the free result instantly, in your browser.
What We Check
Six areas where S-corps most often drift out of alignment, each reviewed and documented in your written findings.
Reasonable Comp vs. Distributions
Is your salary-to-distribution mix defensible? We compare your current split against the factors the IRS and the courts typically consider for your role and industry.
QBI / Section 199A Deduction
Your wage level directly affects the qualified business income deduction. We check whether your current structure may be limiting the deduction you can claim.
Shareholder Basis
Distributions beyond basis can become taxable, and losses can be suspended. We review whether basis is being tracked and where the schedule stands today.
Accountable Plan in Place?
Owner reimbursements without a written accountable plan can be treated as wages. We check whether a compliant plan exists and is being followed.
California Franchise & SOI Filings
For California entities: the annual franchise tax, the Statement of Information, and estimated payment timing. Lapses here carry penalties and can lead to suspension.
Payroll Filings: 941, 940, DE 9
We confirm federal quarterly and annual payroll returns and state equivalents such as the California DE 9 are being filed and reconcile to the wages on your 1120-S.
A Staged Approach
The Health Check is step one of a three-step ladder. Each step builds on the last, and your diagnostic fee is credited toward the full report.
Entry Check
The flat-fee diagnostic on this page. Written findings across all six areas from an Enrolled Agent, with delivery timing confirmed in writing.
Full S-Corp Health Report
A deep-dive report: reasonable compensation analysis with supporting data, basis schedules, QBI scenarios, and a prioritized correction plan. Your $349 diagnostic fee is credited in full.
Implementation
If the report identifies work to do: payroll setup or adjustment, accountable plan adoption, or amended returns. Scoped and quoted individually before anything begins.
How It Works
Three steps from purchase to written findings.
Answer the Intake
Complete the short intake online, or simply reply to your purchase receipt with your 1120-S, payroll reports, and year-to-date P&L. We confirm what we have and what is missing.
Enrolled Agent Review
An Enrolled Agent works through all six diagnostic areas: compensation mix, QBI, basis, accountable plan, state filings, and payroll returns.
Written Findings and Next Steps
You receive documented findings with clear next steps, and the option to continue to the full report with your diagnostic fee credited.
How every engagement is checked
Every engagement runs through the same written procedure. It is the reason the fee is what it is, and you can hold us to it.
- 1Scope and fee in writing before any work begins.
- 2Documents arrive through the secure client portal, not as email attachments.
- 3A second review on a different day, against a written checklist, before anything is filed.
- 4If the IRS writes about a return we prepared, reviewing the notice with you is free. Any response or representation beyond that review is quoted in writing first.
Frequently Asked Questions
Common questions about this service area.
Related Guides
Learn more about this topic with our in-depth guides.
Small Business Tax Guide
Entity choices, deductions, and compliance essentials for small business owners.
Read GuideOne Big Beautiful Bill Act (OBBBA) Guide
Key 2026 tax law changes affecting deductions, credits, and compliance requirements.
Read GuideCalifornia Business Tax Guide
Franchise tax, Statement of Information deadlines, and state payroll obligations for California entities.
Read GuideRelated Services
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Learn MoreTax Planning
Year-round planning that builds on the Health Check findings.
Learn MoreRequest an S-Corp Health Check
One flat-fee diagnostic, written findings, and a clear next step. Timing is confirmed with you in writing. The fee is credited toward the full report if you continue.
Arc & Ledger takes on work selectively. Each request is reviewed for fit with our practice areas, and scope and timing are confirmed in writing before an engagement begins.
“Arc & Ledger provided exceptional service, making my tax preparation seamless and stress-free.”– Christian S., Google Review
A secure Client Portal invitation is sent only after Arc & Ledger accepts the engagement or you purchase an available fixed-scope service. A call, waitlist entry, or contact form alone does not create portal access.