Question

What is the total percentage amount an individual can have in Form 1120, Schedule G, Section 2? I was told in previous years that we, 2 owners, have 100% each of voting stock. Turbo tax does not seem to agree for 2018 forms. Has something changed or

Forum|Forum|6 years ago
August 26, 2019
1 reply
0 views

No text available

Employee

have 100% each of voting stock.

Flat out not possible. I'm confident you were not told you could each have 100% voting stock. I'm more confident you misunderstood what you were told.

The total amount of voting stock among all owners that have voting stock, can not exceed 100%. So with two owners who possess voting stock, the most any one owner can have is 99% with the other having 1%. Generally with two owners, each will have 50% with the total amount of voting stock coming to 100%.