A parent S corporation uses Form 8869 to elect to treat one or more of its eligible subsidiaries as a qualified subchapter S subsidiary (QSub).
The QSub election results in a deemed liquidation of the subsidiary into the parent. Following the deemed liquidation, the QSub is not treated as a separate corporation and all of the subsidiary¡¯s assets, liabilities, and items of income, deduction, and credit are treated as those of the parent.
Current revision
Recent developments
None at this time.