Instructions For Form 2553 - Election By A Small Business Corporation (Page 4 of 6) in pdf

Do not file Form 1120S for any tax year before the

A corporation (entity) not making the election for its first

year the election takes effect. If the corporation is

tax year in existence that is keeping its current tax year

now required to file Form 1120, U.S. Corporation

should enter the beginning date of the first tax year for which

CAUTION

Income Tax Return, or any other applicable tax return,

it wants the election to be effective.

continue filing it until the election takes effect.

A corporation (entity) not making the election for its first

tax year in existence that is changing its tax year and wants

End of Election

to be an S corporation for the short tax year needed to switch

Once the election is made, it stays in effect until it is

tax years should enter the beginning date of the short tax

terminated or revoked. IRS consent generally is required for

year. If the corporation (entity) doesn’t want to be an S

another election by the corporation (or a successor

corporation for this short tax year, it should enter the

corporation) on Form 2553 for any tax year before the 5th tax

beginning date of the tax year following this short tax year

year after the first tax year in which the termination or

and file Form 1128, Application To Adopt, Change, or Retain

revocation took effect. See Regulations section 1.1362-5 for

a Tax Year. If this change qualifies as an automatic approval

details.

request (Form 1128, Part II), file Form 1128 as an attachment

to Form 2553. If this change qualifies as a ruling request

Specific Instructions

(Form 1128, Part III), file Form 1128 separately. If filing Form

1128, enter “Form 1128” on the dotted line to the left of the

entry space for item E.

Part I

Item F

Name and Address

Check the box that corresponds with the S corporation's

Enter the corporation's true name as stated in the corporate

selected tax year. If box (2) or (4) is checked, provide the

charter or other legal document creating it. If the

additional information about the tax year, and complete Part

corporation's mailing address is the same as someone

II of the form.

else's, such as a shareholder's, enter “C/O” and this person's

name following the name of the corporation. Include the

Signature

suite, room, or other unit number after the street address. If

Form 2553 must be signed and dated by the president, vice

the Post Office doesn’t deliver to the street address and the

president, treasurer, assistant treasurer, chief accounting

corporation has a P.O. box, show the box number instead of

officer, or any other corporate officer (such as tax officer)

the street address. If the corporation changed its name or

authorized to sign.

address after applying for its employer identification number,

be sure to check the box in item D of Part I.

If Form 2553 isn’t signed, it won’t be considered timely

filed.

Item A. Employer Identification Number (EIN)

Column J

Enter the corporation's (entity’s) EIN. If the corporation

(entity) doesn’t have an EIN, it must apply for one. An EIN

Enter the name and address of each shareholder or former

can be applied for:

shareholder required to consent to the election. If stock of the

Online–Go to IRS.gov/EIN. The EIN is issued immediately

corporation is held by a nominee, guardian, custodian, or an

once the application information is validated.

agent, enter the name and address of the person for whom

By faxing or mailing Form SS-4, Application for Employer

the stock is held. If a single member limited liability company

Identification Number.

(LLC) owns stock in the corporation, and the LLC is treated

as a disregarded entity for federal income tax purposes,

If the corporation (entity) hasn’t received its EIN by the

enter the owner's name and address. The owner must be

time the return is due, enter “Applied For” and the date the

eligible to be an S corporation shareholder.

EIN was applied in the space for the EIN. For more details,

see the Instructions for Form SS-4.

For an election filed before the effective date entered for

item E, only shareholders who own stock on the day the

Item E. Effective Date of Election

election is made need to consent to the election.

Form 2553 generally must be filed no later than 2

For an election filed on or after the effective date entered

months and 15 days after the date entered for item E.

TIP

for item E, all shareholders or former shareholders who

For details and exceptions, see

When To Make the

owned stock at any time during the period beginning on the

Election, earlier.

effective date entered for item E and ending on the day the

election is made must consent to the election.

A corporation (or entity eligible to elect to be treated as a

corporation) making the election effective for its first tax year

If the corporation timely filed an election, but one or more

in existence should enter the earliest of the following dates:

shareholders didn’t timely file a consent, see Regulations

The date the corporation (entity) first had shareholders

section 1.1362-6(b)(3)(iii). If the shareholder was a

(owners),

community property spouse who was a shareholder solely

The date the corporation (entity) first had assets, or

because of a state community property law, see Rev. Proc.

The date the corporation (entity) began doing business.

2004-35, 2004-23 I.R.B. 1029, available at

IRS.gov/irb/

When the corporation (entity) is making the election

2004-23_IRB#RP-2004-35.

for its first tax year in existence, it will usually enter

Column K. Shareholder's Consent Statement

the beginning date of a tax year that begins on a date

CAUTION

other than January 1.

Each shareholder consents by signing and dating either in

column K or on a separate consent statement. The following

special rules apply in determining who must sign.

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Instructions For Form 2553 - Election By A Small Business Corporation Page 4

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