Form 2553 Instructions

Form 2553 is two pages long, but every section is dense with terminology. This guide walks through Part I (the main election), Parts II–IV (special situations), and the post-filing steps. Use it alongside the official IRS Form 2553 instructions on irs.gov; addresses, fax numbers, and minor wording change occasionally and the IRS version is authoritative.

This is educational material, not tax advice. For complex situations — multiple owners, fiscal years, trusts as shareholders, or late filings — please consult a CPA or tax attorney.

Before you start

Make sure you have:

• The entity's legal name exactly as registered with the IRS, plus mailing address.
• The Employer Identification Number (EIN). Without one, stop and apply for an EIN first.
• State and date of incorporation or LLC formation.
• The intended effective date of the S-Corp election.
• Each shareholder's full legal name, address, SSN or ITIN, ownership percentage, and date stock was acquired. In community-property states, also gather the same identifying information for each shareholder's spouse.

Part I — Election Information

Lines A–D: Entity identification

Enter the entity's exact legal name, mailing address, EIN, and the state of incorporation or LLC formation. The name must match what the IRS has on file from your EIN application. If the entity changed names since the EIN was issued, you may need to also file Form 8822-B to update the IRS first.

Line E: Election effective date

This is the date the S-Corp election will take effect. Most calendar-year businesses enter January 1 of the current tax year. New entities enter the date the entity first had shareholders, acquired assets, or began doing business — whichever is earliest. For a deeper look at timing, see our S-Corp election deadline guide.

Line F: Selected tax year

Almost every small S-Corp checks box (1) — calendar year. The other options ask for a fiscal year, a 52- or 53-week year, or a section 444 election; all of these require Part II and additional IRS approval.

Lines G–H: Number of shareholders and contact officer

Line G: enter the total number of shareholders. A married couple holding stock jointly counts as one shareholder if they meet IRS rules; otherwise, count each spouse separately.

Line H: name, title, and phone number of an officer the IRS can call with questions. This person should be reachable — the IRS often calls before mailing rejection notices, and a phone call can save weeks of back-and-forth.

Line I: Late-election relief

If you are filing late and intend to use Rev. Proc. 2013-30, this is where you note that fact and reference Part IV. See our late S-Corp election guide for full details.

Signature line (the entity's signature)

An authorized officer of the corporation, or a member-manager of the LLC, signs and dates here on behalf of the entity. Include the officer's title (e.g., President, Sole Member, Managing Member). A missing or unsigned signature line is the single most common reason Form 2553 is rejected.

Column K: Shareholder consent statement

Every shareholder must complete a row in column K. The columns ask for:

• Name and address of each shareholder.
• Stock owned or percentage of ownership and the date acquired.
• SSN or EIN of the shareholder.
• Shareholder's tax year ending (almost always December 31).
• Signature and date of the shareholder consenting to the S-Corp election.

Critical points: each shareholder must sign personally; signatures must be original (not typed); and in community-property states the non-owner spouse must usually sign as well, because community-property law treats both spouses as having a beneficial interest in the stock.

Part II — Selection of Fiscal Tax Year

Skip this if you are using a calendar year. If you are requesting a fiscal year, Part II asks you to identify which of three boxes applies:

• Natural business year: the entity has a 25%-or-more pattern of seasonal income.
• Ownership tax year: the chosen year matches the majority-shareholders' tax year.
• Section 444 election: a "back-up" fiscal year request that comes with a deferral deposit obligation under Form 8716.

Each option has its own substantiation rules. Most newly electing S-Corps avoid this section entirely by using the calendar year.

Part III — Qualified Subchapter S Trust (QSST) Election

Skip unless an electing trust will hold S-Corp stock as a QSST. This is unusual for small single-owner businesses and almost always involves an estate-planning attorney.

Part IV — Late Election Relief

Used only when the form is being filed after the 75-day / March 15 deadline under Rev. Proc. 2013-30. Part IV contains:

• A representation that the entity intended to be an S-Corp from the requested effective date.
• A statement that the entity met all S-Corp eligibility requirements at all times.
• A reasonable-cause explanation for the late filing, signed under penalties of perjury.

You also write "FILED PURSUANT TO REV. PROC. 2013-30" across the top of the form. See our companion guide on late S-Corp elections.

Where to file

The IRS service center used depends on the state of the entity's principal business address. The current addresses and fax numbers are listed in the official Form 2553 instructions on irs.gov; verify before mailing because the IRS occasionally moves processing centers.

Either method works:

• Certified mail with return receipt. The postmark date is the filing date.
• Fax with confirmation page. The date and time on the IRS confirmation is the filing date.

What happens after filing

The IRS typically responds within 60 days. You will receive Notice CP261 confirming acceptance of the S-Corp election. Keep this notice with your permanent records — payroll providers, tax preparers, and lenders may all ask for it.

How Entity IQ helps

Filling Form 2553 by hand is doable, but a single missed signature or wrong effective date can invalidate the entire election. Entity IQ generates a pre-filled, IRS-ready PDF from your business details, walks you through the required signatures and consent statements, and provides the correct service-center address for your state. It handles both timely and late elections under Rev. Proc. 2013-30. To estimate the savings before you commit, run the numbers in our S-Corp tax calculator, or read our step-by-step filing guide.

This article is for educational purposes only and is not tax or legal advice. Please consult a qualified CPA or tax attorney before filing Form 2553, especially if you have multiple shareholders, a fiscal year request, or a late filing.