Schedule QS: Qualified Subchapter S Subsidiary (QSub) Information (2025)
California · FTB · Used for tax years 2025
California Schedule QS identifies the qualified subchapter S subsidiaries (QSubs) included in a parent S corporation’s Form 100S. It reports each QSub’s identifying information, federal QSub election effective date, and annual tax payment date and amount.
Who files this form
A parent S corporation must complete Schedule QS and attach it to Form 100S for each taxable year in which a qualified subchapter S subsidiary (QSub) election is in effect.
For tax year 2025, list each QSub whose income, deductions, and credits must be included in the parent’s Form 100S. Schedule QS tells the Franchise Tax Board which QSubs the parent owns.
What you'll need
Have the parent’s Form 100S and the following information ready:
- Parent S corporation name and California corporation number or federal employer identification number (FEIN).
- Each QSub’s name.
- Each QSub’s California corporation number and FEIN, if it has or had those numbers.
- Effective date of each federal QSub election.
- Date and amount of each QSub annual tax payment.
How to file
Attach Schedule QS to the parent S corporation’s Form 100S.
- Enter the parent’s name and California corporation number or FEIN at the top.
- List each QSub in column (a). Enter its California corporation number in column (b) and FEIN in column (c), if it has or had those numbers. Leave the applicable fields blank if it does not have those numbers.
- Enter the federal QSub election’s effective date in column (d).
- Enter the annual tax payment date in column (e) and the amount paid in column (f). Use mm/dd/yyyy for the dates.
- Include the amounts from column (f) on the parent’s Form 100S, Side 2, line 21.
Questions people ask
Who pays the QSub annual tax?
The parent S corporation must pay an $800 annual tax for each QSub it owns that is incorporated, qualified, or doing business in California.
Does a QSub file a separate California return?
Schedule QS notifies the FTB that the QSub’s income, deductions, and credits will be included in the parent’s return and that the QSub will not file a separate California franchise or income tax return. A short-period return is required if the election takes effect after the first day of the subsidiary’s taxable year and the subsidiary was subject to California tax before that effective date.
Does the federal QSub election apply for California purposes?
Yes. A parent S corporation’s federal QSub election under Internal Revenue Code Section 1361(b)(3) is treated as a binding election for California purposes.
Where can I find more QSub information?
The schedule directs readers to the Form 100S S Corporation Tax Booklet, General Information DD, Qualified Subchapter S Subsidiary (QSub).