Consider the factors that determine whether a QSUB election should be made. Discuss topics covering both immediate and long-term tax consequences and the process necessary to make the election. If an S corporation owns 100% of the stock of another corporation, the tax consequences of the operation of the subsidiary will depend on whether the S corporation makes a ‘qualified subchapter S subsidiary election’ (QSUB election). We’ll examine the tax compliance requirements necessary to successfully make the QSUB election.
Requirements that must be satisfied to make the QSUB election. How to make the QSUB election. Immediate tax consequences of the election, deemed liquidation. Potential complications of deemed IRC 332 liquidation. Situations where the QSUB election could be desirable. Situations where the QSUB election could be undesirable. Longer-term consequences of the decision to elect or not elect. Terminations of QSUB election.
Understanding the basics of taxation of corporations, S corporations and partnerships.
CPAs and lawyers.
Recognize the immediate and long-term tax consequences of making or not making a QSUB election. Identify situations where the QSUB election can be made. Analyze the result of the “deemed liquidation” including unusual facts which can create complications. Discuss situations where the election could be desirable or undesirable. Explain the tax compliance requirements necessary to successfully make the QSUB election. Understand tax consequences of termination of QSUB election.
- John McWilliams
Non-Member Price $59.00
Member Price $49.00