Discussion:Sec. 338(h)(10) elections with S corps
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Discussion Forum Index --> Tax Questions --> Sec. 338(h)(10) elections with S corps
| 31 May 2008 | |
| If the LLC is treated as a corporation, then yes. Otherwise, no. | |
DeacDiggler (talk|edits) said: | 1 June 2008 |
| if you want the stepup without a corporate buyer, have the S corp do an F reorg where target becomes a Qsub of a new holdco....then your LLC can buy 100% of the stock of Target and it's taxed as an asset purchase. Alternatively, once target is a sub, you can convert it to an LLC under state law, then buy LLC interests. The good thing about the LLC conversion option is it removes any concern that the buyer might have as to whether the S corp election was valid - you're leaving all that with the sellers. | |
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