SCH C LLC wants to go Sub S Tax treatment

[JFH]

I have a client who is a single member LLC and wants to be treated for tax purposes as a Sub S for 2008 and not as a Sch C as he is for 2007. I think all I have to do is complete a form (Form #?) and send to the IRS - is this the right time to do this for 2008 - can it be retroactive? - Like to 2007?

Thanks for all the help.

[Linda]

I have a client who is a single member LLC and wants to be treated for tax purposes as a Sub S for 2008 and not as a Sch C as he is for 2007. I think all I have to do is complete a form (Form #?) and send to the IRS - is this the right time to do this for 2008 - can it be retroactive? - Like to 2007?

Thanks for all the help.

Form 2553, file by March 15 for calendar year taxpayer, effective current year, not retroactive.

[mircpa]

retroactively 24 months S election can be effective by following rev procedure 2003-43

[stevec cpa]

Make sure you file the 8832 prior to the 2553 though, as the election would most likely be denied otherwise.

Steve

[Lion EA]

He's already organized under state law as an LLC, so just has to file the 2553 to make the S election. If he were not already an LLC or corporation, he would first file 8832 to incorporate and then 2553.

[JFH]

He's already organized under state law as an LLC, so just has to file the 2553 to make the S election. If he were not already an LLC or corporation, he would first file 8832 to incorporate and then 2553.

Thank you - and yes - he is already organized as an LLC

[michaelmars]

WHY DOES he want s corp? what is his business and is that best for him?

[les grans]

"If he were not already an LLC or corporation, he would first file 8832 to incorporate...."

Please, say it ain't so!!