Response to the following:
S Corporation Characteristics
Answer each of the following questions.
1. a. How many shareholders may an S corporation have?
b. What types of shareholders can an S corporation have?
2. S Corporation Characteristics
a. What are the tax advantages of S corporation status over C corporation status?
b. What are the advantages of S corporation status over being a general partnership?
3. Electing and Terminating S Status
a. What is the period during which the shareholders of a corporation may elect S corporation status?
b. What events automatically terminate a corporation's S status?
c. When is the termination of S corporation status effective under voluntary termination versus under automatic termination?