Convert Partnership to S-Corp

[SusanA]

Please allow Partnership clients to be converted to S-corporations.  Thank you.

[calebljenkins]

The same idea would be true for converting C-Corporations to S-Corporations and vice-versa.

This would have some big programming issues in the areas of shareholder basis, BIG tax, and undistributed AAA accounts, however, these areas could be flagged so that we would have to finish that before the "conversion/proforma" is complete.

[sjrcpa]

@calebljenkins You can transfer S Corp to C Corp and vice versa in Lacerte.

[Adam Hodson CPA]

How about just adding an option to export all depreciable assets from one file to another.  And maybe something similar to export partners from one company to another.

[IntuitGabi]

Thanks for the idea. We are changing the status to "Open for voting" since it is no longer considered "New". If you have any questions on the life cycle of an idea, check out our Idea Getting Started Guide for more information.

[pmr]

There is a backdoor way of converting from a partnership to an s-corp (or even an individual to an entity) and vice versa. You have to have access to the data files, but it can be done. I just did it last week.

[Sarago]

Can you explain how?

[pmr]

Keep in mind, it's not a perfect/seamless transfer...some items don't come over quite right or at all, so you will want to double check everything! In my mind, the biggest reason to use this method is to keep the depreciation schedule.

It's been a tax season month since I did it, so I might be missing a few items:

1. Write down the Lacerte client number that you want to convert, then go to the module you want to convert to. Create a shell client with the same client number (if there is a client with that number already there, then you will have to use a different number and change the client number in the other module to match).
2. While in the partnership module, locate your data path by going to settings>options>setup--it should say your data paths under program options. CData is C-corp, FData is Fiduciary, IData is Individual, PData is Partnership, and SData is S-Corp.
3. In a windows explorer, navigate to the PData folder then the Detail folder. This has the specific client files, which are labeled based on their respective client number (e.g. 1091.PD2). You will want copy the client data file and then past it into the similar folder for the S-Corp (yes, you want to replace the one that is there).
4. While in the module you converted to, select Client>Update Client Database. Then you can access the new client. Be forewarned, the client name does come over, so it will look blank from the client list.

[Sarago]

Thank you so much!!