Now Is the Time: Converting a C Corporation to an S Corporation or LLC
Document Type
Article
Publisher
American Institute of Certified Public Accountants
Publication Source
The Tax Adviser
Abstract
For closely held corporations that still have C status, the current uncertain economic environment, depressed asset values (especially in certain real estate markets), and historically low income tax rates on distributions to individuals (qualified dividends) from C corporations (which are scheduled to expire at the end of 2012) may present an opportunity to exit C status and its attendant double taxation at an acceptable current tax cost. Tax advisers should be talking to their C corporation clients about the opportunities that now exist to avoid substantial future taxes.
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Comments
Published by the American Institute of Certified Public Accountants in The Tax Adviser, 2012. Users may access this article here.