Hi everyone - I am brand new to this forum and have a pretty pressing & time-sensitive question. I work in private accounting and do not handle taxes at work. I have a friend who is asking me for help regarding what she should do with electing S-Corp status for taxation. I am not sure how to help her?
Here is the situation...she and her business partner are currently an LLC and about to open a new business. They wish to elect S-Corp status to be taxed as an S-Corp. Since it is now nearly April 15th, they missed the March 15th deadline to file form 2553. What should we do at this point? Should we go ahead and file it late and explain why it was filed late - that we simply did not know that it had to be elected? What is considered reasonable cause?
Also, do we need to file Form 8832 Entity Classification Election?
Thank you in advance!
