Recognizing gain or loss on the distribution of property


Response to the following :

Once an S corporation's S status is revoked, the corporation normally must wait five years before it can re-elect S status. For an S corporation to be able to treat a distribution as coming first from E&P and then from AAA, all shareholders must agree to this change in ordering. ?

An S corporation does not recognize a gain or loss on the distribution of property where the fair market value (FMV) of the property differs from the corporation's adjusted basis in the property?

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Taxation: Recognizing gain or loss on the distribution of property
Reference No:- TGS02110059

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