IRS written determination 201442038

Private letter rulings and published taxpayer determination letters. Native document type is retained separately; a determination letter is not labeled a private letter ruling. These taxpayer-specific releases cannot be used or cited as precedent under 26 USC 6110(k)(3); applicability and current legal force are not independently certified. Keep repeated UILC subjects attached to one actual numbered document.

Internal Revenue Service
Department of the Treasury
Washington, DC 20224
Number: 201442038
Release Date: 10/17/2014
Index Number: 1362.00-00, 1362.01-03
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Third Party Communication: None
Date of Communication: Not Applicable
Person To Contact:
-------------------, ID No. ----------------
Telephone Number:
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Refer Reply To:
CC:PSI:B02
PLR-148956-13
Date:
April 10,2014
X= ----------------------------------------------------
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D1=-----------------------
State=------
Dear ----- -----------:
This responds to a letter dated September 20, 2013, and subsequent
correspondence, submitted on behalf of X by its authorized representative, requesting a
ruling under § 1362(b)(5) of the Internal Revenue Code.
The information submitted states that X was formed on D1 as a corporation
under the laws of State. X intended to elect to be treated as an S corporation for federal
tax purposes effective D1. However, Form 2553, Election by a Small Business
Corporation, was not timely filed for X.
Section 1362(b)(5) provides that if (A) an election under § 1362(a) is made for
any taxable year after the date prescribed by § 1362(b) for making the election for the
taxable year or no § 1362(a) election is made for any taxable year, and (B) the
Secretary determines that there was reasonable cause for the failure to timely make the
election, then the Secretary may treat the election as timely made for such taxable year
and § 1362(b)(3) shall not apply.
Based solely on the facts submitted and representations made, we conclude that
X established reasonablecause for failing to timely make an election to be an S
corporation and, thus, is eligible for relief under § 1362(b)(5). Provided that X otherwise
qualifies as an S corporation, we conclude that X will be recognized as an S corporation
effective D1, if X files a completed Form 2553 effective D1 with the appropriate service
center within 120 days from the date of this letter. A copy of this letter should be

PLR-148956-13
2
attached to the election.
Except as expressly set forth herein, no opinion is expressed or implied
concerning the federal tax consequences of the facts described above under any other
provision of the Code, including whether X is otherwise eligible to be an S corporation
for federal tax purposes.
This ruling is directed only to the taxpayer requesting it. Section 6110(k)(3) of the
Code provides that it may not be used or cited as precedent. Pursuant to a power of
attorney on file withthis office, a copy of this letter is being sent to X’s authorized
representative.
Sincerely,
Bradford R. Poston
Senior Counsel, Branch 2
Office of the Associate Chief Counsel
(Passthroughs & Special Industries)
Enclosures:2
Copy of this letter
Copy for § 6110 purposes