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I have an LLC with S corp election but I revoked my S corp…

I have an LLC...

I have an LLC with S corp election but I revoked my S corp election year end 2017. I am completing my 2017 1120S now. Do I mark it as a "final return" as well as "s election termination or revocation"? Is there anything else I need to do? I sent the Revocation letter to the IRS in December with termination letter of December 31, 2017

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Customer reply replied 5 months ago
Also, I completed the S corp election (form 2553) at the same time the LLC was created. I revoked the S corp and completing form 8832 to select "Disregarded as a separate entity". What else do I need to do other than file 2017 1120S if I mark it "final return"? The balance sheet on the S corp shows more in liabilities than assets (loan from shareholder) as Ive had a loss
Answered in 1 hour by:
3/13/2018
Barbara
Barbara, Enrolled Agent
Category: Tax
Satisfied Customers: 6,626
Experience: 20+ years of experience in tax preparation; 30+ years of experience as a real estate/corporate paralegal.
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Welcome to Just Answer. My name is ***** ***** I will be happy to assist you.

All that is left for you to do is make sure the 2017 1120S is marked "Final" and that the K-1 is also marked "Final."

Please let me know if I can assist you further.

Thank you and best regards,

Barb

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Just following up with you to see if you have any other questions. If so, please let me know so I can continue to assist you.

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Customer reply replied 5 months ago
I do have another question please.
The business is a single member LLC that had elected to be taxed as an S Corp originally. I have now asked that the S Corp election be revoked (12/31/17) and that the LLC be disregarded as a separate entity effective 1/1/18. I am completing my 2017 1120S Tax Returns.
To clarify, I do mark the box at the top that says "final return" correct since my 2018 return will simply be on a Schedule C?If that's the case, I need to show a zero balance on the balance sheets Schedule L correct? (I am not required to fill out balance sheets for federal because the business has less than 250K assets, but my state still requires it). I had approximately $2100 in inventory on the books and I had loaned the business approx. $3000. How would I treat this to zero out the Balance sheet for the S corp? Thanks so much for your help.

All you have to do is mark the 2017 1120S "final return."

Per Just Answer rules, questions on different topics must be posted as separate questions.

Barbara
Barbara, Enrolled Agent
Category: Tax
Satisfied Customers: 6,626
Experience: 20+ years of experience in tax preparation; 30+ years of experience as a real estate/corporate paralegal.
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