ILLMAS Posted November 3, 2021 Report Share Posted November 3, 2021 TP incorporated back in 2014 and started doing over the road driving in 2015, if the TP would of come on time, I would recommend them to elect to be treated as a S-Corp, fast forward to today, they bring in 2015 to 2020 because they have a loan expiring and they need their taxes, how far back can I make the election? Their only source of income is from the corporation and a rental property, I don't know if the bank would consider the corp's income if the mortgage is personal. Thanks Quote Link to comment Share on other sites More sharing options...
Lee B Posted November 3, 2021 Report Share Posted November 3, 2021 First I would look to see if the business is really incorporated. Is the corporate name on the title of the truck and trailer or the individual's name. Whose name is on the expiring loan? Who was actually receiving income payments corporation or individual? Was a corporate bank account ever set up? If you go ahead to work on this, I would ask for large retainer, because unless this taxpayer has large amount of money set aside for taxes, it could get really ugly! Quote Link to comment Share on other sites More sharing options...
Roberts Posted November 3, 2021 Report Share Posted November 3, 2021 To make an election (after the first year), you may file the election at any point from the first day of your preceding tax year up to two months and 15 days after the start of the applicable tax year. 2022 is the first year you could elect to be an 1120-s IMO. Why do you think they'd be better off as an s-corp? Quote Link to comment Share on other sites More sharing options...
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