Discussion:C corp dissolution Tax forms
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Discussion Forum Index --> Tax Questions --> C corp dissolution Tax forms
| 28 May 2008 | |
| OK so c corp is dissolved File 1120 for final year Any other tax forms to file for the corporation? do you have to file a form 966 and give the stock holders a 1099-Div for the distributions of its cash or is it just return of capital and any excess is capital gain reported on their 1040 sch D
Neil | |
| 28 May 2008 | |
| Yes, 966 and 1099-DIVs to the stockholders. The amount of cash and noncash liquidating distributions will be shown in Boxes 8 and 9 on the 1099DIVs.
You are talking about liquidating, not dissolving. To liquidate is to cease business and distribute the cash and any other remaining assets to the stockholders. To dissolve is to terminate the existence of the corporation. They are two different things. Dissolution must be done through the Secretary of State of the state where the corporation is organized. In addition, if the corporation is qualified to do business in any other states, it must withdraw through their Secretary of State offices. The procedures vary somewhat from state to state. Failure to legally dissolve the corporation can lead to assessments of fixed-dollar minimum taxes and other complications. | |
| 28 May 2008 | |
| we will liquidate and dissolve so I will contact SOS Ohio for the proceedure. when Should the 966 be filed . their tax years ends 6/30/08 I will do their 2007 tax return then and liquidate at that time and show the 1120 . Should the liquidation occure before the year end or after. | |
