Taxpayer has a partnership agreement (dated 12/13/13) that includes himself and one other person.
He also has an buyout agreement dated 5/28/14. The buyout states he pays other owner $4800 balance over nine and one half month. Once the balance is zero, he becomes 100% owner.
The SS-4 acceptance letter states that a F1120 is to be filed by 3/15/15. (He thought he had applied for EIN as a partnership, not as a C corp). Both names are on the acceptance letter. They have agreed to a 50/50 partnership.
They want the "partnership" to start 1/1/14 and end 12/31/14.
My initial thought was to do a late file S election, let the taxpayer keep the c-corp, keep same EIN and continue on as a single shareholder s-corp.
Might it be better to shut dn the c corp and start over by applying for a new ein in just his name, continue using same business name for whatever business entity he chooses?
Can he end the c-corp on 12/31/14?
It seems he has a partnership that owns a c corp?
What do you suggest? He doesn't think the other partner would sign a s corp late election.
thank you
He also has an buyout agreement dated 5/28/14. The buyout states he pays other owner $4800 balance over nine and one half month. Once the balance is zero, he becomes 100% owner.
The SS-4 acceptance letter states that a F1120 is to be filed by 3/15/15. (He thought he had applied for EIN as a partnership, not as a C corp). Both names are on the acceptance letter. They have agreed to a 50/50 partnership.
They want the "partnership" to start 1/1/14 and end 12/31/14.
My initial thought was to do a late file S election, let the taxpayer keep the c-corp, keep same EIN and continue on as a single shareholder s-corp.
Might it be better to shut dn the c corp and start over by applying for a new ein in just his name, continue using same business name for whatever business entity he chooses?
Can he end the c-corp on 12/31/14?
It seems he has a partnership that owns a c corp?
What do you suggest? He doesn't think the other partner would sign a s corp late election.
thank you