INSTRUCTIONS : ENTITY CLASSIFICATION ELECTION (Form 8832)
Form 8832 is a United States Internal Revenue Service tax form filed by a non-individual entity to declare their classification for tax purposes. The entity can choose to be taxed as a corporation, a partnership, or other form which will have specific tax consequences.
A Form 8832 can be obtained through the I.R.S’ website or by obtaining the documents through a local tax office.
The form should be submitted as soon as a business is created or changes which requires a change in tax designation.
1. Provide the contact information of the business entity that will be given the tax designation. Provide the Employer Identification Number, name of business, and the current address.
2. In part I, select the designation that you are choosing for your entity. Select the box that corresponds to the designation. Indicate in line 1 if this is a new entity or if you are changing the classification.
3. If your entity has filed a Form 8832 in the past 60 months, indicate so on line 2a and answer 2b.
4. On line 3, indicate the ownership of the entity and state whether there are multiple owners.
5. If only one owner, enter the owner’s information on line 4. If owned by an affiliated corporation, enter that corporation’s information on line 5.
6. On line 6, you must check the box indicating the classification you are electing.
7. If the entity is based in a foreign jurisdiction, indicate so on line 7.
8. Select an election date on line 8. If left blank, the date the classification will go into effect is the date you file your Form 8832.
9. Supply a tax contact name and number for the IRS to contact on line 9.
10. All owners of the entity must provide their name, signature, date, and title in order to complete the form.
11. If selecting late election relief, you must write an explanation in part II. If you do not require late election relief, you may leave this blank.
12. Once completed, submit the Form 8832 to the IRS and retain a copy for your own records.
