A company entity can choose to become a S corporation by submitting Form 2553, commonly known as the Election by a Small company Corporation. The business owners that make this choice are eligible for a number of tax incentives. But the real query is, can you submit Form 2553 online? Yes, you can submit Form 2553 electronically.
In January 2019, the IRS launched the online Form 2553 filing method. All qualified entities, including corporations, partnerships, and limited liability companies (LLCs), have access to the online filing system. The business entity must meet additional eligibility conditions and have a current employment identification number (EIN) in order to submit Form 2553 online.
You must go through the IRS website and follow the instructions in order to submit Form 2553 electronically. You must first register for an account with the IRS by giving them your name, address, and EIN. When you log in to the IRS website after creating an account, you can choose the “Election by a Small Business Corporation” option to begin the online filing procedure.
You must enter all necessary details while completing Form 2553 online, including the name, address, and EIN of the corporate entity as well as the names and addresses of each shareholder. The corporation’s tax year and the day the S corporation election became effective must also be disclosed.
Let’s go on to the next concern: “How do I complete Form S Corp 2553?” You must complete Form 2553 with all necessary information, as was previously stated. You must complete the form’s Part I – Election Information, Part II – Shareholder Information, and Part III – Effective Date of Election sections, among others. Before submitting the form to the IRS, you must fill out all the sections and sign the document.
The following inquiry is, “Can you fax Form 2553?” The IRS can receive your faxed Form 2553, yes. However, you must make sure the form is readable and has all the necessary data. Form 2553 can be faxed in at (855) 214-7520.
Let’s move on to the final query: “Can a single-member LLC file Form 2553 with respect to this?” No, a single-member LLC is unable to submit Form 2553. A single-member LLC is not qualified for S corporation status since the IRS disregards it as a disregarded company. The single-member LLC can submit Form 2553 and choose S corporation status if it has more than one owner, nevertheless.
To sum up, Form 2553 can be submitted electronically on the IRS website. Before submitting the form to the IRS, it is crucial to include all the necessary details and make sure it is signed. A single-member LLC cannot file Form 2553 and is not eligible for S corporation status.