Afternoon! I'm trying to figure out the best approach for a messy S election situation. MMLLC filed 2553 for first year of the business. They say the form was mailed on time, but IRS says it was late. As a result, S election is granted for 1/1/23, but not for 2022. They are currently looking for proof of mailing date.
I know a late election could be filed with the first return, but there are two complications. First is that LLC did not extend the 2022 return, so it's late. Second is that one of the members has already filed 1040 for 2022 and there's nothing for this LLC on that return. If LLC can locate proof of mailing the 2553 timely, I assume paper filing the return with the 2553 and proof of mailing is the way to go (and of course, the member who has already filed needs to amend). If they cannot locate proof of mailing, do I 1) prepare 1120-S; 2) have member who has already filed amend his 1040 to include 1120-S K-1; and only then 3) paper file 1120-S with late election included? Does the fact that the first 1120-S (and first return for the entity) is late mean that the late election will be denied? Any other suggestions that might be more successful?
Thanks for any assistance.