S election before PPP forgiveness

Technical topics regarding tax preparation.
#1
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Apologies if this has been covered:

Client is a seasonal employer LLC who received a large PPP loan.

I want to make an S-Election for the avoidance of some unnecessary payroll taxes to the owners.

Yes, I realize that there are some plans to close this rule...

Is there any guidance related to making an s election before the PPP loan has been forgiven?

Any other thoughts appreciated.
 

#2
CO CPA  
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What's the net income of the SMLLC? Have you considered how the QBI deduction impacts the benefit on the payroll tax side? S corps don't bring nearly the benefit that they used to.
 

#3
sjrcpa  
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benefield3 wrote:Is there any guidance related to making an s election before the PPP loan has been forgiven?

Should not be any issues. It is the same legal entity.
 


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