SMLLC taxes as an S Corp.

[John of PA]

If a Single Member LLC wants to be taxed as an S Corp, does it first have to file the 8832 to be recognized as a corporation, or does it just file the 2553 to elect S Status? Any thought are appreciated.

[geekgirldany]

For my business I filed Form 2553. They sent me a letter confirming the election and a new EIN.

For clients, I have always just sent in the Form 2553 if going from Sole Prop to S-Corp.

[DaveinTexas]

Just for future reference

If a Single Member LLC wants to be taxed as an S Corp, does it first have to file the 8832 to be recognized as a corporation, or does it just file the 2553 to elect S Status? Any thought are appreciated.

The requirement to file form 8832 along with the form 2553 went away back in 2007. Your SMLLC can just file the 2553 to elect S Status.

[John of PA]

Thank you Davien, I was concerned becasue the SMLLC is not a corpration and the 2553 is for corporations, but it appears IRS is accepting them anyway.

[DaveinTexas]

You bet the IRS is accepting them

Thank you Davien, I was concerned becasue the SMLLC is not a corpration and the 2553 is for corporations, but it appears IRS is accepting them anyway.

And here is the Reg if you have trouble sleeping one night: Reg. § 301.7701-3(c)(1)(v)(C)

Also, here is an article from Thompson Reuters explaining the Reg and other provisions related to LLC tax elections (if you are really having trouble sleeping): http://www.google.com/url?sa=t&rct=j...56146854,d.aWc

Just open the link in a browser and hit enter. Or if that doesn't work, the article's name is "Avoiding Traps When Electing S Status for an LLC" by James Hamill.

Have a great weekend!

[John of PA]

Thank you Davien for that excellent link, just what I was looking for. I will to some extent, sleep better now, thank you. Now if you have a link on how to deal with my teenage daughter, then I'll really sleep good. Thanks again.

[DaveinTexas]

If you figure it out, let me know

Thank you Davien for that excellent link, just what I was looking for. I will to some extent, sleep better now, thank you. Now if you have a link on how to deal with my teenage daughter, then I'll really sleep good. Thanks again.

I have 2 daughters myself, I told my wife when they reach the teenage years (5 and 8 now) that I would get a partial lobotomy so I won't be aware of any drama they are causing!! But seriously, I've been told that cages are illegal; must have been a law created by someone without children!!