“C” Reorganization
“C” Reorganization
The target corporation must liquidate as part of the plan of reorganization unless the IRS waives this requirement.’ As a result, the shareholders of the target corporation become shareholders in the acquiring corporation. In determining the tax consequences to the liquidating target, the reorganization provisions govern-not the liquidation rules of §§ 336 and 337.
Explanation:
* Target exchanges substantially all its assets for voting stock of Acquiring.
* Target may receive a limited amount of boot in addition to the voting stock.
* Acquiring owns the assets of both Acquiring and Target.
* Target liquidates after the transfer, distributing Acquiring Company’s stock and any retained assets.
* Target’s former shareholders become shareholders in Acquiring.
We hope you found this article about “”C” Reorganization” helpful. If you have questions or need expert tax or family office advice that’s refreshingly objective (we never sell investments), please contact us or visit our Family office page or our website at www.GROCO.com. Unfortunately, we no longer give advice to other tax professionals gratis.
To receive our free newsletter, contact us here.
Subscribe to our YouTube Channel for more updates.
Alan Olsen, is the Host of the American Dreams Show and the Managing Partner of GROCO.com. GROCO is a premier family office and tax advisory firm located in the San Francisco Bay area serving clients all over the world.
Alan L. Olsen, CPA, Wikipedia Bio
GROCO.com is a proud sponsor of The American Dreams Show.
The American Dreams show was the brainchild of Alan Olsen, CPA, MBA. It was originally created to fill a specific need; often inexperienced entrepreneurs lacked basic information about raising capital and how to successfully start a business.
Alan sincerely wanted to respond to the many requests from aspiring entrepreneurs asking for the information and introductions they needed. But he had to find a way to help in which his venture capital clients and friends would not mind.
The American Dreams show became the solution, first as a radio show and now with YouTube videos as well. Always respectful of interview guest’s time, he’s able to give access to individuals information and inspiration previously inaccessible to the first-time entrepreneurs who need it most.
They can listen to venture capitalists and successful business people explain first-hand, how they got to where they are, how to start a company, how to overcome challenges, how they see the future evolving, opportunities, work-life balance and so much more..
American Dreams discusses many topics from some of the world’s most successful individuals about their secrets to life’s success. Topics from guest have included:
Creating purpose in life / Building a foundation for their life / Solving problems / Finding fulfillment through philanthropy and service / Becoming self-reliant / Enhancing effective leadership / Balancing family and work…
MyPaths.com (Also sponsored by GROCO) provides free access to content and world-class entrepreneurs, influencers and thought leaders’ personal success stories. To help you find your path in life to true, sustainable success & happiness. It’s mission statement:
In an increasingly complex and difficult world, we hope to help you find your personal path in life and build a strong foundation by learning how others found success and happiness. True and sustainable success and happiness are different for each one of us but possible, often despite significant challenges.
Our mission at MyPaths.com is to provide resources and firsthand accounts of how others found their paths in life, so you can do the same.
How to Prevent, Deter and Detect Fraud in Your Business
How to Prevent, Deter and Detect Fraud in Your Business “Fraud has a direct impact on your company’s bottom line. It also threatens your company’s hard-earned reputation.” We have seen it all and we can help you become more savvy about preventing fraud and detecting it. Overview: What is Fraud? What are some warning signs…
Employer’s Quick Guide to Avoiding Sexual Harassment Liability
By Myron Curry Employers can be held liable for any sexual harassment that occurs in the workplace. However, if they take reasonable care to prevent and correct harassment, they will not be liable. The following article looks at the elements of reasonable care that will greatly reduce the risk of sexual harassment liability. Written Policy.…
Ten Tips to Create an Effective Blog
Ten Tips to Create an Effective Blog By Greenstein, Rogoff, Olsen & Co., LLP Updated: 10/18/2011 In a world of rapid technology growth and development, it has become not only important but essential to submerge yourself in this ever changing world. According to job search site, Indeed.com, the top 10 fastest-growing job trends of 2010…
Finding a Niche in the Hispanic Market for your Small Business
Finding a Niche in the Hispanic Market for your Small Business Book Summary Part 1 of 7: The Power of Business en Espanol, 7 Fundamental Keys to Unlocking the Potential of the Spanish-Language Hispanic Market by Jose Cancela Marketing to the Hispanic demographic could pay big dividends to the tune of nearly $1 trillion in…