Dissolution of S-Corp
I am a member of a Pennsylvania S-Corp that went out
of business in 2005. I continue to file 1120 returns, but
would like to officially dissolve the entity. My problem
relates to the balance sheet. We have no assets, but
$4.6 million in liabilities that will never be paid. If
I file the 966 return, do the unpaid liabilities become
income to the shareholders?