LLC and Corp in NC

[Super Mom]

I have a general partnership that has 3 partners. One partner who was once non-passive and worked there no longer works there and wants to become a limited partner for this tax year. Is that something I can do on the tax return, or does it require a structure change--general partnership with Secretary of State???

Also, I have a Corp with a net loss carryover. If they become a proprietorship again, (the S papers not filed and C-Corp is headache), will they lose their net loss or is it just carried over?

Thanks for any insight, I'm in NC.

[ChEAr$]

I have a general partnership that has 3 partners. One partner who was once non-passive and worked there no longer works there and wants to become a limited partner for this tax year. Is that something I can do on the tax return, or does it require a structure change--general partnership with Secretary of State???

Also, I have a Corp with a net loss carryover. If they become a proprietorship again, (the S papers not filed and C-Corp is headache), will they lose their net loss or is it just carried over?

Thanks for any insight, I'm in NC.

As for Your partner who wants to "go limited" , this requires a change in the partnership agreement, which may or may not have to be registered with the state of NC. (Doesn't have to be here in GA or AL).

If the corporation is dissolved, it ceases to exist, just as when a person dies. (A corporation IS a person under the law and "dies" when it is dissolved.) Therefore the net loss carry forward dissapears. Poof!