Entity Classification: Elections, Errors, and What to Do Next
Entity classification is one of the most fundamental—and most frequently misunderstood—areas of international tax compliance. A single missed or incorrect election can change the entire tax posture of a client, triggering unexpected filing obligations, exposure to penalties, and unintended tax consequences under regimes such as Subpart F or GILTI.
This program focuses on how practitioners should approach entity classification in real-world scenarios, with an emphasis on identifying and correcting mistakes. Participants will review the check-the-box regulations under Treas. Reg. §301.7701-1 through -3, including the distinction between eligible entities and per se corporations, and the application of default classification rules.
The program will walk through the mechanics of making entity classification elections using Form 8832, including effective date considerations and timing strategies. More importantly, the program will address what happens when things go wrong—such as missed elections, incorrect classifications, or misunderstandings of foreign entity structures.
Special attention is given to corrective procedures, including late election relief and practical limitations on retroactive fixes. Participants will learn how to evaluate available remedies, determine when relief is possible, and understand the downstream impact of classification decisions on filing obligations, including Forms 5471 and 8865.
Throughout the program, the focus remains on practitioner decision-making: how to identify risks, how to communicate issues to clients, and how to take appropriate next steps when entity classification problems are discovered. This is not a theoretical discussion—this is a practical guide to handling one of the most consequential issues in international tax compliance.
Upon completion of this program, participants will be able to:
-Identify the classification of domestic and foreign entities under the entity classification regulations, including distinguishing between eligible entities and per se corporations.
-Determine the default classification of foreign entities based on ownership structure and apply the rules under Treas. Reg. §301.7701-3.
-Apply the procedures for making entity classification elections using Form 8832, including evaluating effective dates and timing considerations.
-Evaluate common entity classification errors and assess available corrective options, including late election relief.
-Analyze the impact of entity classification on U.S. tax reporting obligations, including filing requirements for Forms 5471 and 8865.
Only available for TPP Unlimited CE subscribers.
*Self-Study recording not available for NASBA CPE credit.
IRS Program #: 7Q3WU-T-00883-26
CTEC Course #: 6248-CE-00230
"Our best deal is always to become a monthly subscriber"
Rita Ryan
,
Esq., LLM
Rita Ryan is the Founder of RRITS and a seasoned Tax Attorney with more than 18 years of experience advising clients on cross-border personal/business taxation, international investment structuring, multi-jurisdictional estate planning, and U.S. tax compliance obligations arising from global activities and holdings. She is widely regarded for her ability to navigate complex international tax regimes and translate evolving regulatory requirements into practical, strategic guidance.
In addition to her client-facing work, Rita serves as a trusted advisor to fellow tax professionals, providing specialized support in identifying international reporting obligations, advising on complex filings, and reviewing workpapers and forms to ensure technical accuracy in an increasingly dynamic international compliance environment.
Prior to founding RRITS, Rita served as Chief Financial Officer and Head of Private Client Services at M+, where she focused on integrated tax, business, and wealth preservation planning for high-net-worth business owners and their families. Earlier in her career, she founded and led Wolf & Co.’s International Tax Services Practice, advising both individuals and entities on the tax planning and compliance aspects of international ownership structures. Rita began her legal career in private practice as an Associate Attorney at Vacovec, Mayotte & Singer, LLP, concentrating on international and domestic taxation, estate planning, and tax controversy matters.
Rita is also an Adjunct Professor in the Graduate Tax Program at Boston University School of Law, where she co-founded and co-teaches the course Foreign Information Reporting and Withholding. In addition, she regularly teaches advanced international tax topics for Tax Practice Pros, LumiQ, and the National Association of Enrolled Agents, contributing to the education of practitioners nationwide.
Recommended Webinars
2024 Tax Controversy Seminar Series
Varies
This on-demand webinar series covers criminal tax, IRS collections, international reporting, tax controversies, AI in tax practice, and entertainment industry taxation, equipping professionals with practical strategies for compliance, dispute resolution, and risk management
FBAR Rescue & 8938 Reasons to File
2 IRS CE/2 CTEC/2 NASBA CPE*
Taxpayers with foreign financial assets may be required to file both the Foreign Bank Account Report (FBAR) and Form 8938 (Statement of Specified Foreign Financial Assets)—but understanding when and how to file can be complex. This webinar guides tax professionals through the key differences, filing thresholds, penalties, and reporting obligations for each form. Learn how to determine filing requirements, avoid common compliance pitfalls, and effectively advise clients with international financial interests. Ensure your clients stay compliant and mitigate risks with a clear understanding of these critical reporting requirements. Only available for TPP unlimited CE subscribers.
International Tax Controversies: Challenges & Strategies - 2025
4 Free NY & NJ CLE, CPE and 4 IRS CE/4 NASBA CPE Credits
This in-depth program provides comprehensive coverage of the tax implications for U.S. taxpayers with foreign income and assets. Participants will explore the complexities of reporting foreign income, compliance requirements for foreign asset disclosure, and strategies for minimizing tax liabilities under international tax treaties. The program addresses key areas such as the Foreign Account Tax Compliance Act (FATCA), the Foreign Bank and Financial Accounts (FBAR) reporting, and the taxation of foreign trusts. It also includes a discussion on the tax treatment of foreign earned income and the benefits of the Foreign Earned Income Exclusion (FEIE) and Foreign Tax Credit (FTC). The session features practical examples and case studies to help attendees navigate the intricacies of international taxation effectively and ensure compliance with both U.S. and foreign tax laws.
Tax Relief in Times of Crisis: The 2024 Disaster Bill and 2025 Updates
2 IRS CE/2 CTEC CE/2 NASBA CPE*
When disaster strikes, tax professionals are often the first line of defense in helping clients navigate complex recovery rules. This timely webinar explores the significant legislative changes brought by the 2024 Federal Disaster Relief Act and the 2025 OBBB extension, equipping tax practitioners with the tools needed to apply the latest federal tax relief provisions to individual and business clients impacted by federally declared disasters. Led by Jane Ryder, EA, CPA, this program demystifies qualified disaster loss rules, nonrefundable and excludable payments, casualty loss deductions, expanded filing deadlines, and the distinctions between state and federal disaster declarations. This webinar discusses how to recognize eligible events, document client losses, and apply the correct tax treatment—whether the disaster occurred in 2020 or 2025. Whether your clients suffered wildfire damage, flood losses, or derailment-related hardship, this course provides up-to-date, IRS-aligned guidance for accurate and beneficial tax relief claims.
Tax Relief in Times of Crisis: The 2024 Disaster Bill and 2025 UpdatesTax Administration in 2025
*NO CE on recording
The program examines the reshaping of IRS staffing, leadership, and operations amid political realignment and federal workforce reductions. It analyzes the impact of the 2025 filing season, assess IRS performance data, and anticipate future challenges in enforcement and service delivery. This program equips practitioners to understand and anticipate changes that affect taxpayer service, compliance activity, and professional representation. It also clarifies the distinct roles of Congress, Treasury, and the IRS in tax policy and administration, helping tax pros navigate the shifting regulatory environment with greater confidence and accuracy. "Our best deal is always to become a monthly subscriber"
Tax Administration in 2025Completing Form 706 and the Portability Path
2 IRS CE/2 CTEC CE/2 NASBA CPE*
Learn how to accurately complete IRS Form 706 with a focus on properly reporting the value of a deceased person's assets for DSUE (Deceased Spousal Unused Exclusion) purposes. This course guides you through the essential steps, including how to handle situations where the estate exceeds the annual exclusion amount. Clear examples and practical scenarios will be provided to help you apply the concepts with confidence. "Our best deal is always to become a monthly subscriber"
Completing Form 706 and the Portability PathMarital Estate tax planning trusts: Credit Shelter, Bypass, QTIP, and more
2 IRS CE/2 CTEC CE/2 NASBA CPE*
"Our best deal is always to become a monthly subscriber" *Self-Study recording not available for NASBA CPE credit.
Marital Estate tax planning trusts: Credit Shelter, Bypass, QTIP, and moreIntro to Estate Tax
1 IRS CE/1 CTEC CE/1 NASBA CPE*
This webinar stands on its own as a solid introduction, but it's also recommended for those planning to attend the upcoming session on Marital Estate Tax Planning Trusts: Credit Shelter, Bypass, QTIP, and more.
Intro to Estate TaxForm 709 and Adequate Disclosures
2 IRS CE/2 CTEC CE/2 NASBA CPE*
"Our best deal is always to become a monthly subscriber" *Self-Study recording not available for NASBA CPE credit.
Form 709 and Adequate DisclosuresGifts to Trusts
2 IRS CE/2 CTEC CE/2 NASBA CPE*
"Our best deal is always to become a monthly subscriber" *Self-Study recording not available for NASBA CPE credit.
Gifts to TrustsHalfway There: Key Tax Changes for 2025 (So Far)
3 IRS CE/3 CTEC CE/3 NASBA CPE*
Don't Miss the Biggest Mid-Year Tax Update of 2025 Tax law never sleeps—and neither can you. As we cross the midpoint of 2025, major developments are already reshaping how you advise and represent your clients. New laws, court rulings, administrative guidance, and a revised Circular 230 are already in play. Join us for a fast-paced, practical breakdown of everything that matters so far in 2025—before you fall behind.
Halfway There: Key Tax Changes for 2025 (So Far)The Federal Rules of Evidence in Tax Cases – Part I
3 Free NY & NJ CLE, CPE and IRS CE/NASBA CPE Credits
Tax Professionals that attend are encouraged to accept a pro bono tax controversy case assignment from NYCLA, an ABA-sponsored Tax Court Pro program or a NY or NJ low-income Tax Clinic.
The Federal Rules of Evidence in Tax Cases – Part I
Hmm...nothing here yet.
