Contributions of property to S corporations are tax-free only if the contributing parties have control (80% ownership)immediately after the contribution.

Name: Contributions of property to S corporations are tax-free only if the contributing parties have control (80% ownership)immediately after the contribution.
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This statement is true. To qualify as a tax-free contribution, the contributing parties must have control (80% or more ownership) in the S corporation immediately following the contribution.

Contributions of Property to S Corporations Are Tax-Free Only If