Are you the sole owner of a C corporation or S corporation?
Are you thinking about retiring?
Then before you make any moves, you should read my new article. You see, it explains one of the right ways to transfer ownership to your kids, business associates, employees, or other shareholders.
How you handle the transfer can have major tax implications which I explain in my new article titled Tax Tips: Tax Breaks on Shift of Corporate Ownership to Kids (and Others).
Three ways our fact-filled article can help you:
- We’ll tell you about an important, recent IRS private-letter ruling. The ruling concerned a father who owned 100% of his company’s stock and wanted to get paid, make a gift to his two sons, and transfer 100% ownership to the sons. He did it all with IRS approval! You’ll learn how when you read the full article.
- We’ll explain how to handle transactions the right way. The IRS, as you might have guessed, has strict rules you need to follow when you redeem stock. We’ll spell them out for you when you read the full article.
- We’ll walk you through the tax consequences of stock redemption. On the sale of the stock to your corporation, you need to file the elections required by the IRS to meet the “complete termination tests” if you want capital gains treatment. We’ll make everything clear when you read the full article.