| REQUIREMENTS OF S STATUS |
| An S corporation must Be a domestic and eligible corporation Have only one class of stock Have no more than 100 shareholders Have only allowed shareholders (individuals, estates, or qualified trusts) |
| A Non – Resident alien (NRA) may not own shares of S Corp [Must be a citizen / resident of US] |
| Family Members in a six generation range are considered as one shareholder |
| Partnerships, Charitable Remainder Unitrusts and Charitable Remainder Annuity Trusts may not be shareholders of S Corp |
| Domestic International Sales Corporations (DISC) cannot elect S Status |