S Corporations: Conversions 2024

Overview

Electing S corporations may find it desirable or necessary to terminate this election and convert to a C corporation. Alternatively, qualifying C corporations may determine the S status as the preferred tax status. With significant current and future tax considerations, terminating or electing S corporation status can be desirable. We’ll consider situations when such conversions are desirable-identifying and discussing tax planning opportunities and complications at conversion.

Highlights

• Reasons to terminate an S corporation election
• Involuntary terminations
• Voluntary revocations the process and the consequences
• Tax planning opportunities related to the termination of S corporation status
• Complications arising from a mid-year termination
• Limitations on re-electing S corporation status
• Making the S corporation election how and why
• Built-in gain planning

Prerequisites

Understanding the basics of taxation of individuals, corporations, S corporations and partnerships.

Designed For

CPAs and attorneys.

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 voluntary revocation
• Consider tax result from making the S corporation election-how and why
• Discuss built-in gain tax planning

Preparation

None

Notice

This course is offered by a 3rd party vendor. Login instructions will not be accessible in the My CPE Tracker section of the ISCPA website. Login instructions will be emailed directly to you by California Education Foundation (CalCPA).