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  • 1.  LLC reclassification

    Posted 06-13-2023 06:15 PM
    Looking to reclassify LLC to an S for tax purposes. My understanding is file form 8832 and 2553 for federal and CT-6 for NYS.
    Your help is appreciated.
    Lloyd Portnoy

    Sent from my iPhone


  • 2.  RE: LLC reclassification

    Bronze Most Valuable Member
    Posted 06-14-2023 01:07 AM
    This is correct. Be sure to review the timing requirements if you are going retroactive on the election. 
     
     James E Hall, CPA, CEPA 
      277 Indian Head Road
      Kings Park, NY 11754
      p: (631) 269-7500
      f: (631) 355-7293

      
     
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    Original Message


  • 3.  RE: LLC reclassification

    Posted 06-14-2023 08:24 AM
    Thank you to everyone for your quick response.
    Appreciated.

    Sent from my iPhone


    Original Message


  • 4.  RE: LLC reclassification

    Silver Most Valuable Member
    Posted 06-14-2023 06:42 AM
    It really isn't necessary to file Form 8832.  The 2553 and CT-6 is all that is needed.

    --
    Larry Prosky CPA
    Prosky & Rosenfeld LLP CPAs
    1025 Old Country Road
    Suite 403 W
    Westbury, NY 11590
    Direct: 516-873-9600 x1
    Fax: 516-873-9602
    Cell (Text) 516-661-6020
    Other: 516-785-5658
    e-mail: larry@prcpallp.com


    Any accounting, business or tax advice contained in this communication, including attachments and enclosures, is not intended as a thorough, in-depth analysis of specific issues, nor a substitute for a formal opinion, nor is it sufficient to avoid tax-related penalties.  If desired, Prosky & Rosenfeld LLP CPAs would be pleased to perform the required research and provide you with a detailed written analysis.  Such an engagement may be the subject of a separate engagement letter that would define the scope and limits of the desired consultation services.  

    Privileged and confidential-this communication and any accompanying documents are confidential and privileged.  They are  intended for the sole use of the addressee.  If you receive this transmission in error, you are advised that any disclosure, copying, distribution or the taking of any action in reliance upon this communication is strictly prohibited.  Moreover, any such disclosure shall not compromise or waive the accountant-client, or other privileges, as to this communication or otherwise.  If you have received this communication in error, please contact me at the above e-mail address.  Thank you.
     



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  • 5.  RE: LLC reclassification

    Platinum Most Valuable Member
    Posted 06-14-2023 08:40 AM

    Lloyd, you are mostly correct.  You need to file Form 2553 with the IRS and CT-6 for NY.  You do NOT need to file Form 8832.

    Steve



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    Stephen MankowskiCPA
    MANKOWSKI ASSOCIATES, CPA, LLC
    steve@mankowski.cpa
    215-682-7366
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    Original Message


  • 6.  RE: LLC reclassification

    Bronze Most Valuable Member
    Posted 06-15-2023 08:34 AM

    I think your first step before making the election is ensuring that your LLC agreement is compatible with S-Corp requirements.  Many LLC agreements, particularly older ones, have problems which make S-elections invalid.  This issue came up in a number of sessions at AICPA Engage last week.



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    Steven M. Kaplan, CPA/ABV
    333 Westchester Ave Suite S302
    White Plains, NY 10604
    914-733-7340
    skaplan@skaplancpa.com
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    Original Message


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The opinions expressed are the views of the author alone and should not be attributed to any other individual or entity and shall not constitute an accounting opinion.