Juanita is the sole shareholder of Belize Corporation (a calendar-year S corporation). She is considering revoking the S electio

Question

Reika [66]

3 years ago

12

Juanita is the sole shareholder of Belize Corporation (a calendar-year S corporation). She is considering revoking the S electio

n. It is February 1, year 1. What options does Juanita have for timing the effective date of the S election revocation

Business

1 answer:

Yanka [14] · Answer 1 · 2022-10-30T04:27:32+03:00

Answer:

January 1 Year 2 would be an effective date.

Explanation:

Juanita have two ( 2 ) options and they are

Terminating the election after March 15th
Terminating the Election at the beginning of the next Financial year

Since it is already February 1 Year 1 , The most effective date for the S election revocation would be January 1 year 2 ( calendar-year of S corporation ) .