USA what tax return need to file when multiple partners drop down to one

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I have a client she bought out other partners' share and become a single member LLC at May 2014. Do I need to file final 1065 for part of the year and 1120S for the second part of the year, or I can file 1065 for the whole year?
Thanks.
 
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I'm a little confused. Are you saying that we were previously a partnership, and now are electing to be treated as an S-corporation starting in May? Filing a 1065 for the whole year would not make sense. If so, yes, I agree that a short-year 1065 needs to be filed for the short year period (Jan 2014 to April 2014 if calendar).

Make sure you timely elected both the check the box and S-election to begin on May 2014. Be mindful of any Sec- 754 election basis issues that would apply when going from partnership to S-corp. The other partners in this scenario are effectively transferring their member interests to the one partner, and the remaining partner is getting issued stock (likely to be shown as APIC) in the new LLC S-corp.
 
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Thank you for your answer. Can my client file 1065 for the whole year 2014 and elect to be treated as an S-corporation starting in Jan 2015 even it had only one member during part of the 2014? I think that is the easier case to prepare the return.
 
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A single member LLC is not permitted to file 1065. You need to file a short-year 1065, and use Schedule C (or E) for the remainder of the year.

Then, file the 8832 and 2553 before March 15 to get in the S-election for 2015.
 
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The partnership terminated immediately when the buyout occurred. There may have even been multiple partnerships for tax purposes during the year if the buyouts were on different dates because a partnership terminates whenever at least 50% of the total interest in partnership capital and profits is sold or exchanged within a 12-month period, including a sale or exchange to another partner. See http://www.taxhelpadvisor.com/partnerships/terminating-a-partnership/
 

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