§ 4988 Disqualified Shareholder Income Restriction

• •If a shareholder in a marriage and family therapy corporation becomes disqualified (like losing their license), they can't get money from the work they do while disqualified.
• •The money made from their work during this time doesn't go to them or their shares in the company.
• •This rule is to make sure only qualified people get paid for this kind of work.

A therapist loses their license but still works at the clinic they own shares in.

The money the clinic makes from the therapist's work while their license is gone doesn't go to them. It stays with the clinic or goes to other qualified therapists.