Profits of S Corp. Don't Count as Shareholder's Wages

In a case of first impression, the Nebraska Supreme Court ruled that a worker’s wages do not include the net profit for an employee of an S corporation. Case: Bortolotti v. Universal Terrazzo & Tile Co., S-17-1024, 10/11/2019, published. Facts: Terry Bortolotti worked in a family business, the Universal Terrazzo and Tile Co., for more than 30 years. Universal had at least 15 employees. In 2011, Bortolotti became the sole stockholder and president of Universal, a subchapter S corporation. As president, Bortolotti spent about 60% of his time performing office and manageria...