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#1
5th February 2003, 03:30 PM
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Reponse!
I did consult with a lawyer and he confirmed that we can be a shareholder of an S Corp. I didnot mention it earlier because i cannot provide written proof and you will have to take my word for it. I agree with you that there are some websites which say that a H1B holder cannot be a shareholder of a Corp (most of these are immigration websites as INS defines H1B's as non resident aliens) but they are mistaken as they donot know the Tax laws. I am surprised how you can dismiss a written notification from IRS online help desk and a posting from a well known Tax expert like Kaye Thomas.
Can you can substantiate your statement with some link from IRS or SBA etc.? Ravi 
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