Transferred S-corp To LLC. Taxable Event?
I have diferent opinions on this subject. can someone for sure tell me if transferring a property from an s corp to a llc where ownership is same IS a taxable event? thanks
I have diferent opinions on this subject. can someone for sure tell me if transferring a property from an s corp to a llc where ownership is same IS a taxable event? thanks
Maurich Inc, an S-corp, owns the property now. The S-corp is an entity that is not you. You want to transfer title to Maurich LLC, a different owner, also an entity that is not you..
Tell me again how the owners are the same?
s corp technically different entity than llc. same ownership.
cj,
The question is not whether a transfer can be accomplished, but whether the transfer would be a taxable event.
Yes, if the transfer is a taxable event, then all the taxes you mention are in play.
okay guys, so lets keep this SIMPLE!.: my S-CORP transfers property ( legally, pays stamps, records deed etc) to an LLC. in both cases the OWNER is the SAME.
is this a taxable event for the S -corp for that year?
OR can we claim the transfer as just a shifting of asset from one entity to another under same ownership?
It depends on the basis in the property transferred in relationship to the sales price. Seek professional assistance on this.
bargainking, i hope you are correct!. problem with uncle sam is, you cannot GUESS or take a crapshot. there has to be correct answer to this question. no two professionals i am talking to are agreeing with one answer......grey area?
where exactly do you ask the irs?. www.irs.gov does not seem to have the means to pose a question. thanks