We started our business a good year ago, and followed the calendar year as our FY. Unfortunately it reaally doesn't make sense, because we pretty much follow an academic year with our programs. I was trying to find out how to change our FY, where to submit what forms, but still couldn't find any info on this. Could anyone give me some advice on this?
CharlotteW | Former Moderator |
6/30/2009 - 2:06 pm
From the research I've conducted, a fiscal year consists only of dates set by the business owner. Many businesses align their fiscal year with the calendar year. As far as I can tell, it doesn't appear there are any forms or regulations on changing the fiscal year end date. One thing I would suggest is to be very didgent with the transition period and keeping very good records. If your fiscal year begins in January now and you want it to change to begin in August I would be sure to continue the books until December but also start a new file beginning in August. So essentially there would be 5 months of overlapping accounting for the January - December fiscal year and the August - July Fiscal year.
I hope this helps!
I moved this message to this board where I hope more IRS experts will be able to chime in with suggestions.
From the research I've conducted, a fiscal year consists only of dates set by the business owner. Many businesses align their fiscal year with the calendar year. As far as I can tell, it doesn't appear there are any forms or regulations on changing the fiscal year end date. One thing I would suggest is to be very didgent with the transition period and keeping very good records. If your fiscal year begins in January now and you want it to change to begin in August I would be sure to continue the books until December but also start a new file beginning in August. So essentially there would be 5 months of overlapping accounting for the January - December fiscal year and the August - July Fiscal year. I hope this helps! I moved this message to this board where I hope more IRS experts will be able to chime in with suggestions.
vizslafan ,
You will need to file Form 2553. If you need help I can be reached through my website at http://www.1040wealthdesigns.com.
I hope this helps.
Respectfully,
John Beidle
Enrolled Agent
Message Edited by JamieD on 07-05-2009 10:07 PM
vizslafan , You will need to file Form 2553. If you need help I can be reached through my website at http://www.1040wealthdesigns.com. I hope this helps. Respectfully, John BeidleEnrolled AgentMessage Edited by JamieD on 07-05-2009 10:07 PM
Actually for an existing entity use IRS Form 1128. File Form 8716 if you are going to have a tax year other than a required tax year.
Hope this helps.
CharlotteW | Former Moderator | 6/30/2009 - 2:06 pm
jbeidle | Contributor | 7/2/2009 - 11:01 am
jbeidle | Contributor | 8/1/2009 - 11:21 am
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