Can a Trust Own an S Corporation Stock?

[vc_row triangle_shape="no"][vc_column][vc_column_text] Many people ask if a trust can own S Corporation stock. In general, living trusts and testamentary trusts may hold S corporation stock only for two (2) years after the date of death of the grantor.  After death, the trusts become ineligible shareholders and the corporation will lose its S-election due to the Grantor's death. While the grantor of a living trust is living, the Trust would be qualified as a "grantor trust" for income tax purposes, thus allowing all items of income and expense to flow through to the trust's grantor.  Upon death, the grantor trust status is switched off.[/vc_column_text][vc_empty_space][/vc_column][/vc_row][vc_row...