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For already-existing LLCs: Your LLC must file Form 2553 on or before March 15th, 2022. If you file within that period, then the S-Corp status takes effect for the entire 2022 tax year.
The purpose of Form 2553 is to allow small businesses to register as an S corporation instead of as a C corporation. Making an S election can potentially provide tax savings to a small business owner, depending on a number of factors.
An LLC can change its tax status and elect to be taxed as an S corporation. Youll need to file IRS Form 2553 with the IRS. The LLC must elect to be taxed as an S corporation no more than two months and 15 days after the beginning of the tax year when the election is to go into effect.
A corporation or other entity eligible to be treated as a corporation files this form to make an election under section 1362(a) to be an S corporation.
If you file Form 2553 late, the election will typically go into effect the following year. For example, if you had to file by March 15, and file March 31, instead of being effective in 2021, when requested, the election will go into effect automatically in 2022.
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How Often Do I Need to File Form 2553? Once a small business files Form 2553 and is approved by the IRS to be treated as an S Corp, the election remains valid, and the business owner does not have to file Form 2553 every year.
Form 2553: Election by a Small Business Corporation is used by small businesses that elect to be taxed as an S corporation, rather than the default C corporation business structure assigned by the IRS. Filing Form 2553 has specific qualifications and filing deadline requirements.
And, once it has elected to be taxed as a corporation, an LLC can file a Form 2553, Election by a Small Business Corporation, to elect tax treatment as an S corporation.
For already-existing LLCs: Your LLC must file Form 2553 on or before March 15th, 2022. If you file within that period, then the S-Corp status takes effect for the entire 2022 tax year.
The purpose of Form 2553 is to allow small businesses to register as an S corporation instead of as a C corporation. Making an S election can potentially provide tax savings to a small business owner, depending on a number of factors.

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