S Corporation Eligibility and Election
Free CPA REG (Taxation & Regulation) lesson in Federal Taxation of Entities. 15 min read, ~2,194 words.
Eligibility: domestic corporation, ≤100 shareholders (family counts as one), shareholders limited to individuals, estates, certain trusts, and 501(c)(3)s, no corporations, partnerships, or nonresident aliens. One class of stock: voting differences are fine, economic differences (preferred distributions, liquidation preferences) are not. §1362 election: file Form 2553 with unanimous shareholder consent. Effective...
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What this lesson covers
- Content
- Example 1
- Common Mistakes
- Key Takeaways
- Exam Shortcuts
Learning objectives
- V.C1
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