Explain the tax consequences of life insurance with respect to transfers for value, lack of insurable interest, corporate distributions, charitable contributions, separation and divorce, additional compensation, and split-dollar arrangements.

Explain the income tax restrictions on certain amounts paid in connection with insurance contracts.

Chapter 17 - Overview

Explain what determines whether a life insurance policy is classified as a modified endowment contract (MEC).

Describe the characteristics of the corporate form of business, and explain its advantages and disadvantages.

Explain the requirements for the formation of an S corporation, and describe the advantages and disadvantages of being taxed as an S corporation.

Describe the requirements for incorporating a business under the nonrecognition provisions of the Code, and explain the respective roles of debt and equity in the corporate structure.

Chapter 19 - Overview

Explain the various requirements for treating stock redemptions as capital transactions.

Explain the attribution rules that apply to corporate stock redemptions.