In its first year of operations,a corporation projects losses of $125,000.Since losses are involved,the corporation definitely should elect S corporation status.

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The fact that the corporation projects losses does not necessarily mean that it should elect S corporation status. The decision to elect S corporation status is based on various factors such as the number of shareholders, the types of shareholders, the income and deductions of the corporation, and more. It is important to consult with a tax professional to determine the best course of action for the corporation.

In Its First Year of Operations,a Corporation Projects Losses of $125,000.Since