S Corporations: Converting To C Corporation

Description

Electing S corporations may find it desirable or necessary to terminate this election and converting to a C corporation. This course considers situations when such a conversion is desirable.

Identify and discuss tax planning opportunities and complications at conversion. Limitations on re-electing S corporation status are discussed and evaluated. Also, considers complications of re-electing S corporation status after termination.

Highlights

• Reasons to terminate an S corporation election
• Involuntary terminations
• Voluntary revocations the process and the consequences
• Tax planning opportunities related to termination of S corporation status
• Complications arising from a mid-year termination
• Limitations on re-electing S corporation status
• Recent legislation affecting decision to terminate the S corporation election

Objectives

• Discuss and analyze situations where terminating an S corporation election could be desirable.
• Consider common situations where S election may involuntarily terminate.
• Understand the process and tax planning opportunities related to a voluntary revocation.
• Evaluate complication related to mid-year termination of S corporation status.
• Discuss and evaluate limitations on re-electing S corporation status.
• Consider recent legislation which could affect the decision to terminate the S corporation election

Designed For

CPAs and attorneys.