Taxpayer owns 100% of S-Corp A (restaurant). In 2004 taxpayer opens second restaurant B and got a new EIN for paying employees. Taxpayer never got around to incorporating B or any of the other niceities. B used A's name on lease, to pay sales taxes, get bank loan.
B has its own bank account and financial records, filed own payroll reports. The intention was to make B a second S-Corp.
How to get out of this mess (by Sept. 15)? Can we just combine the books and file one 1120-S? Is there a problem with two EINs? Has anyone dealt with a Qualified Sub S? There is Rev Proc 98-55 that seems to allow a late QSub election by the due date of the parent's return.
Any help would be appreciated. Thanks!
B has its own bank account and financial records, filed own payroll reports. The intention was to make B a second S-Corp.
How to get out of this mess (by Sept. 15)? Can we just combine the books and file one 1120-S? Is there a problem with two EINs? Has anyone dealt with a Qualified Sub S? There is Rev Proc 98-55 that seems to allow a late QSub election by the due date of the parent's return.
Any help would be appreciated. Thanks!
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