Harlan Lunsford wrote:

- quote -

If a "C" to "S" conversion took place and the distribution
has as its source the accumulated earnings and profits of
the "C", they could be qualified dividends.

--
Alan
http://taxtopics.net

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"Harlan Lunsford" <lunstax[at]bellsouth.net> wrote
- quote -

That would be my understanding. But I don't write for USA
Today, so what do I know.

- quote -

Amen.

Ooops, I suppose that religious comment doesn't meet the
guidelines, huh.

--
Paul A. Thomas, CPA
Athens, Georgia
taxman at negia.net

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Harlan Lunsford <lunstax[at]bellsouth.net> wrote:

- quote -

Yes, although I suppose it is possible that an S-corp that
was former a C might be distributing E&P. In that case, I
think it might be qualified (if all other conditions are
met).

MTW

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Reading in USA Today, what I suppose is a weekly column this
time of year by Janet Block.

From IRS she says: "The IRS also said dividends from some
types of partnership, S corporations, estate and trusts
qualify for the lower tax rate."

I almost spilled my precious Scotch whisky (but rest assured
it is still safe). From S corps? Sounds to good to be
true.

I have't looked at IRS web site yet for clarification, but
I'm thinking this would refer only to pass through
dividends.

Agree?

cheer$,
Harlan Lunsford, EA n LA

================================================== =========
Moderator:
When Scotch is of voting age, it is socially acceptable
and economically prudent to lick up whatever you spill.
================================================== =========

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