s corp taxes

[chwalters16]

What is the name of your state? california

Hi over the past few years i have registered a few corporations becuase i didnt know what was doing anyways most of the corporation i registered never went anywhere.. never even did business. Some are already suspended. so my question is:

1. do i have to close the corporation down that i dont use? 2. what happens if i never close it down? 3. can i close a corporation down if there are lawsuits still pending? 4. what is the difference between closing a corporation down and declaring bankruptcy? 5. i have an old corporation a few years ago that i got the ein for.. i cant find the ein how do i get it back?

[FlyingRon]

1. do i have to close the corporation down that i dont use?

Nope.

2. what happens if i never close it down?

Nothing really, especially on an S corp. You may get in trouble for not bothering to submit some local tax filings, but even that is a stretch on an inactive corporation in most jurisdictions.

3. can i close a corporation down if there are lawsuits still pending?

Most states require you to list any pending litigations or obligations and won't let you poof the corporation.

4. what is the difference between closing a corporation down and declaring bankruptcy?

It's analogous to a person dying versus going bankrupt. Bankrupcy is a judicial proceding that takes the corporate assets and doles it out equitably to the creditors. Dissolution of the corporation itself is usually just paperwork with the state's corporation office and if there are no outstanding debts just ends the corporations existance.

5. i have an old corporation a few years ago that i got the ein for.. i cant find the ein how do i get it back?

http://www.irs.gov/businesses/small/article/0,,id=155444,00.html

[LdiJ]

Originally Posted by chwalters16

What is the name of your state? california

Hi over the past few years i have registered a few corporations becuase i didnt know what was doing anyways most of the corporation i registered never went anywhere.. never even did business. Some are already suspended. so my question is:

1. do i have to close the corporation down that i dont use? 2. what happens if i never close it down? 3. can i close a corporation down if there are lawsuits still pending? 4. what is the difference between closing a corporation down and declaring bankruptcy? 5. i have an old corporation a few years ago that i got the ein for.. i cant find the ein how do i get it back?

I suspect that in CA you really need to close down inactive S-Corporations. I know that in my state the state will go after you for not making tax filings for the S-Corp, and I have heard that CA is much worse.