which is a disadvantage of s corporations? there are very strict qualification requirements for becoming an…

which is a disadvantage of s corporations? there are very strict qualification requirements for becoming an s corporation they are subject to double - taxation they have high taxation rates there is a limited number of allowed s corporations

which is a disadvantage of s corporations? there are very strict qualification requirements for becoming an s corporation they are subject to double - taxation they have high taxation rates there is a limited number of allowed s corporations

Answer

Answer:

There are very strict qualification requirements for becoming an S corporation

Brief Explanations:

S - corps have strict eligibility rules like limited number of shareholders and only certain types of shareholders allowed. They avoid double - taxation (unlike C - corps) and don't necessarily have high tax rates. There's no limit on number of S - corps, just on their structure.