Form 2553 Deadline: How and When to Elect S Corp Status

Form 2553 is a short IRS form with an outsized effect: it decides the first year your business is taxed as an S corporation. Miss the window and the election generally slides to the following year. This post covers the deadline rule, how to count the days, how to file, and what to do if you're late.

What is the Form 2553 deadline?

The Instructions for Form 2553 say to complete and file the form:

• no more than 2 months and 15 days after the beginning of the tax year the election is to take effect, or
• at any time during the tax year preceding the tax year it is to take effect.

For most small businesses, which use the calendar year, that gives these dates:

Filing early is allowed: the rule lets you file at any time during the year before. If you've decided the election makes sense for 2027, filing during 2026 removes the deadline risk.

How do I count "2 months and 15 days"?

The instructions define the 2-month period precisely. It starts on the day of the month the tax year begins and ends at the close of the day before the numerically corresponding day of the second calendar month after that. If there's no corresponding day, it ends on the last day of that month. Then add 15 days.

The IRS gives these examples:

Applying the same rule, a new LLC whose first tax year begins October 5, 2026 would have a 2-month period ending December 4, and a deadline of December 19, 2026.

A new business can't file before its first tax year begins. The instructions say an election made before that date isn't valid. For a first-year election, the "effective date" on line E is generally the earliest of when the business first had owners, first had assets or began doing business.

Does an LLC need to file anything else?

Generally no. An LLC that is eligible to be taxed as a corporation and timely files Form 2553 is treated as a corporation from the S election's effective date. It doesn't need to file Form 8832 (the entity classification election) separately, according to the Form 2553 instructions.

The LLC must meet the S corporation tests, including: a domestic entity, no more than 100 shareholders, only eligible shareholders (for example individuals and certain trusts and estates), no nonresident alien shareholders, and one class of stock.

How do I file Form 2553?

1. Get an EIN first. The form asks for the entity's EIN. You can apply online at IRS.gov/EIN.
2. Complete Part I. Name, EIN, date formed, state, the tax year and the effective date (line E).
3. Get every shareholder's consent. Each shareholder signs and dates in column K, or on a separate consent statement. Special rules apply for spouses with community property interests, minors, estates and trusts.
4. Have an officer sign the form.
5. Mail or fax it. The instructions list two IRS service centers, Kansas City and Ogden, each with a fax number, based on where the business is located. Check the IRS "Where to file" page for Form 2553 before sending, because the instructions note these details can change.
6. Keep proof. Acceptable proof includes a certified or registered mail receipt, a Form 2553 with an IRS received or accepted stamp, or the IRS acceptance letter. If you fax it, keep the original with your permanent records.

When will I hear back from the IRS?

The instructions say you should generally get a determination within 60 days after filing. If you haven't heard within 2 months of filing (5 months if you requested a special tax year in Part II, box Q1), the instructions say to follow up by calling 1-800-829-4933.

Don't file a Form 1120-S for any year before the election takes effect.

What if I missed the deadline?

A late election generally takes effect for the following tax year. But if you intended S corp status from an earlier date, the IRS provides relief under Rev. Proc. 2013-30.

According to the Form 2553 instructions, a corporation generally qualifies for relief on the form itself if:

1. It intended to be an S corporation as of the effective date on line E.
2. It failed to qualify solely because Form 2553 wasn't filed on time.
3. It has reasonable cause for the late filing and acted diligently to fix it once discovered.
4. The form is filed within 3 years and 75 days of the intended effective date.
5. All shareholders during the period confirm they reported income consistently with S corp status (completing column K meets this).

There's also a path for corporations past the 3-years-and-75-days window, if the corporation and all shareholders reported consistently with S corp status, at least 6 months have passed since the first year's return was filed, and the IRS raised no problem within 6 months of that return being timely filed.

To use the relief, write "FILED PURSUANT TO REV. PROC. 2013-30" at the top of Form 2553, and explain the reasonable cause on line I or in an attached statement. A late election can also be attached to Form 1120-S in some cases, with a matching notation on that return. Where none of these apply, the instructions say a private letter ruling (with a user fee) is generally required.

Relief is not automatic. Whether your facts amount to reasonable cause is a judgment call worth getting professional help with.

Should I file now for 2027?

Only if the numbers support it. Before filing, run your 2026 figures through our S-Corp Savings Calculator and read the S corp election guide. If the saving is under $1,500 a year, the calculator will say "probably not worth it yet", which is RAHA's threshold, not a tax rule. The $100,000 worked example shows how salary and costs change the answer.

If you do elect, set up payroll before your first owner paycheck in the new year. Our S-Corp Setup + Payroll + Bookkeeping package includes Form 2553 review and filing, a reasonable-salary analysis, payroll setup and monthly bookkeeping, at a fixed price quoted upfront. See payroll processing or book a consultation.

Frequently asked questions

What is the S corp election deadline for 2027?

For a calendar-year business that wants S corp status from January 1, 2027: March 15, 2027. You can also file at any time during 2026.

Can I file Form 2553 online?

The current instructions (Rev. December 2020) describe filing by mail or fax to the IRS service center for your location. Check the IRS "Where to file" page for Form 2553 for the latest options.

Does my spouse need to sign Form 2553?

Every shareholder must consent. In community property states, a spouse with a community interest in the stock generally must consent too, per the instructions.

What happens if I file late without asking for relief?

The election generally takes effect for the next tax year instead of the year you wanted.

How long does late-election relief allow?

Relief on Form 2553 itself is generally available within 3 years and 75 days of the intended effective date, if the other conditions are met. There's a separate path after that for corporations whose shareholders have reported consistently with S status.

Can I revoke an S corp election later?

Yes, but after a termination or revocation, the IRS's consent is generally required to re-elect before the 5th tax year, per the Form 2553 instructions.

Sources

• IRS, Instructions for Form 2553 (Rev. December 2020): https://www.irs.gov/pub/irs-pdf/i2553.pdf
• IRS, S corporation compensation and medical insurance issues: https://www.irs.gov/businesses/small-businesses-self-employed/s-corporation-compensation-and-medical-insurance-issues

This guide provides general information for educational purposes and is not tax, legal or accounting advice. Consult a qualified professional before acting.