Change S Corporation Election Date

Technical topics regarding tax preparation.
#1
dil  
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2
Joined:
10-Apr-2021 10:47pm
Location:
California
I have a new business client that filed Schedule C in 2019 and incorporated in the middle of 2020. The person who set up the corporation filed form 2553 to be taxed as S Corp as of 1/1/2021. Is there a way to change the election date to be effective as of the incorporation date? Can I revoke the current election and send a new 2553 when I file 1120S? Or would it be easier to just file as C Corp for 2020?
 

#2
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2657
Joined:
28-Apr-2021 7:00am
Location:
FL
Depends on how much income there was.
Relief is available. The 2553 was in error.
Steve
 

#3
sjrcpa  
Posts:
6477
Joined:
23-Apr-2014 5:27pm
Location:
Maryland
There is relief for late elections if you have a good reason. Does client have a good reason the election was not made to be effective on the incorporation date?
 


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