GlossaryUS
What is Form 8832?
Entity Classification Election
Short answer
Form 8832 is the IRS form an eligible entity, such as an LLC, files to elect to be classified as a corporation, a partnership or a disregarded entity. A new entity keeping its default classification does not file it.
Explained
An election cannot take effect more than 75 days before the form is filed or more than 12 months after it. The entity must already have an EIN when it files, and a copy is attached to its return for the year of the election.
Once the classification has been changed by election, it generally cannot be changed again by election for 60 months; a newly formed entity’s first election effective from its formation date is outside this limit. An entity that wants S corporation status uses Form 2553 instead.
Good to know
- Late election relief is available in certain conditions.
- The classification directly affects your tax; weigh the consequences before electing.
Official sources
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This page is general information, not legal or tax advice. Rules change; check the official source for the latest position or talk to us.
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