Create IRS 2553 Form Online

The 2553 form is used by the shareholders of a corp. to elect S status with the IRS. The status provides limited liability protection for shareholders and S-corp. Profits are passed directly to the personal tax returns of each shareholder.

What is an S corporation?

The IRS defined an S corp which elects small business status. If you are choosing a business as a S corp, the owners have limited liability, and the profits are taxed on each shareholder’s tax return.

S Corporation Requirements:

To select S corp. you must abide by the following:

• You must be a domestic corporation
• Must have 100 or fewer shareholders
• Only one class of stock
• Use a 31st December year-end-date
• No partnerships, corporations, and non-residents as shareholders

What is the deadline for Filing a 2553 Form?

The deadline for filing the 2553 form is:

• Not more than 2 months and 15 days after the beginning of the tax year the election is to take effect
• At any time during the tax year preceding the tax year, it is to take effect

What are the main things that are included in Form 2553?

The organization lists the name, address, social security number, and percentage of ownership of each shareholder. The 2553 form requires each shareholder to comply to the S-corp selection by signing and dating the form.

Is the 2553 form required for anyone?:

The final criterion is that the company must use one of the following tax years:

• The fiscal year which concludes on December 31st
• Normal business cycle
• Instance of taxation for property ownership
• Year of assessment selected under Section 444
• Fiscal year of 52 or 53 weeks is tied to the end of one of the years above
• Any other fiscal year for which the company declares its intent to conduct businesses