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How to Elect S Corporation Status With the IRS
Failing to do so can result in reclassification of dividends as wages, leading to higher taxes and penalties
from the top result below
https://www.addacare.com/navigating-s-corporations-in-california-2024-why/
How to Elect S Corp Status:
However, shareholders can serve on the board or as an officer, which often happens with small S corporations