When Do I Need to File My S Corporation Election By?

If you want your business to be treated as an S corporation for US federal income tax purposes, you will need to file an election with the IRS (Form 2553). The deadline for filing will depend upon if your election relates to a newly-formed entity or change in tax classification for an existing entity.

For a newly-formed entity that is looking to be treated as an S corporation for its first taxable year, you generally must file within two months and fifteen days from the earlier of when the new entity had shareholders, acquired assets, or began doing business (typically, the clock begins on the incorporation date). An election with an effective date before the newly-formed entity began its business is generally ineffective. Lastly, if your entity is formed towards the end of the taxable year and has a short-year of two and a half months or less (i.e., 75 days or less), you can elect by February 15th of the following year (for calendar-year taxpayers).

For existing businesses, you can elect to be taxed as an S corporation for a taxable year as long as an election is filed: (1) by the 15th day of the third month of that taxable year, or (2) during any part of the prior tax year. For example, a calendar year taxpayer that is an existing business that wants to be treated as an S corporation for 2026 must elect during 2025 or on or before March 15, 2026. We can discuss with you the implications of converting an existing business from one tax classification to an S corporation.