Built In Cap Gains: Converting C Corp to S Corp
Date: September 22nd 2:00 – 4:00pm ET
IRS Program #: X9QQU-T-00799-21-S/O
CE: 2
Speaker: Marcus Dyer, EA

Avoiding the Pitfalls of Built-in Capital Gains Tax (converting from C to S Corporations)

COURSE DESCRIPTION
This topic is the subject of an IRS audit campaign
Converting from C corporation to S corporation status can benefit many companies from tax and operation standpoints. C corporation owners can convert their company to an S corporation without triggering an immediately taxable transaction in most cases. However, several potential tax traps can arise in a conversion if not properly planned. One of the most frequent and costly tax implications of a C-to-S conversion is the built-in-gains (BIG) tax of Internal Revenue Code Section 1374.