Should I file IRS Form 8832?
March 15, 2009 6:30 PM Subscribe
TaxFilter: Any reason not to file IRS form 8832 for my LLC to be treated as a corp? Need to decide soon.
posted by ellenaim to Work & Money (5 answers total)
You are not my accountant... I'll be getting one soon, but apparently not soon enough.
I incorporated at the end of 2008 but didn't earn any income until mid-January of this year. So for 2008 taxes, being treated as a "pass-thru" entity is no big deal. I was going to wait until tax season ended before finding an accountant to sort everything out for 2009, but I just realized that in order to be taxed as a corporation for this year I need to file form 8832 by (oh crap) tomorrow March 16. Form 8832 can be filed up to 75 days after the date it is to be effective, and tomorrow is day 75 of 2009.
Generally I file my individual taxes as married filing jointly and expect 2009 total income in the 28% bracket (either with or without including the LLC's income). Being taxed as a corp would bring the tax rate down for the income earned by the LLC. I expect the LLC to earn $75K or less.
Yes, it's my own fault for not talking to an accountant sooner. But is there any reason I shouldn't fill this form out and send it tomorrow? Am I missing something?