Tax Law (Questions About Taxes)/Taxes

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Question
I have an S Corporation, and i am planning on opening up a sister company, what is the processes for this and to file returns at the end of the year does each company have to file taxes separately or can we file the taxes all together, we are using the same books thank you.

Answer
Dear Carlos,

A Sub-Chapter S-Corporation is a federal election done after form a regular C-Corporation. You will have certain time limit to make the election (form 2553) were all the shareholders have to consent to the S-Corp election.

Since you have two entities each one has to file on its own, you can not combine sisters companies filing without having a legal entity to consolidate them.

I hope this answers your questions, if I can be of any further help please let me know.

Regards,
Abraham Itani, CPA
www.itanitax.com

PS please do rate my answer.

Tax Law (Questions About Taxes)

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ABRAHAM ITANI, CPA

Expertise

TAX QUESTIONS DOMESTIC AND INTERNATIONAL OUTBOUND AND INBOUND. FBAR COMPLIANCE. CORPORATE, PERSONAL, PARTNERSHIP, PASS TROUGH ENTITIES, S-CORPORATION, LLC, TRUST, GIFT TAX, 1120, 1040, LATE FILING, NON FILING, AMT, FTC.

Experience

MORE THAN 10 YEARS OF STATE AUDIT TAXATION, MORE THAN 10 YEARS OF PRIVATE AND PUBLIC TAX EXPERIENCE WITH ITANI ACCOUNTING AND TAX, KPMG AND MNP. DEALING WITH HIGH NET WEALTH INDIVIDUALS, LARGE PARTNERSHIPS, EXPAT., CFC AND PFIC. DEALING WITH TAXING AUTHORITY ON ISSUES OF NON FILINGS AND LATE FILINGS.

Organizations
MEMBER OF AICPA, AND NJSCPA.

Education/Credentials
CERTIFIED PUBLIC ACCOUNTANT IN NEW JERSEY AND COLORADO.

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