Final answer:
A former S corporation must wait 5 years before it can re-elect S corporation status after the termination of a previous election unless the IRS consents to an earlier re-election.
Step-by-step explanation:
A former S corporation must wait 5 years before it can re-elect S corporation status after the termination of a previous election unless the Internal Revenue Service (IRS) consents to an earlier re-election. This means that if a company has previously revoked its S corporation status or had its S corporation status terminated for any reason, it is generally required to wait five years from the date of the termination before it can be an S corporation again. This waiting period is stipulated by the IRS to ensure that businesses do not abuse the S corporation election process for tax avoidance purposes.