Legal Question in Tax Law in California

If I decide to convert a C Corp to an S Corp, will all the assets and liabilities be transferred to the S Corp?


Asked on 10/18/12, 8:59 am

1 Answer from Attorneys

Neal Rimer Neal M. Rimer, Esquire

It is the same corporation. There is no conversion... The assets and liabilities do not go anywhere... the change in status is just an election on how the corporation is taxed. There are many ramifications to the change, including the issue in dealing with the built in gains tax. I suggest you meet with your CPA and go over all the issues before you make this election.

Read more
Answered on 10/24/12, 6:59 am


Related Questions & Answers

More Tax and Taxation Law questions and answers in California