Can I change the ownership percentages for a S-Corp in the middle of a tax year?

[T1SanDiego]

This year, I filed form 2553 so that beginning with tax year 2017, my LLC will be taxed as a S-Corp with the IRS.  On the form, I put the ownership percentages as me the sole owner.  However, since then, another member has joined as a co-owner. 

We want to take profit distributions (i.e. owner's draws) this year, which are not subject to payroll taxes, but since he is not currently listed as an owner with the IRS, I don't think we can do that.  Is there a way we can still do so?

[Critter]

I highly suggest you find a qualified tax preparer and/or bookkeeper to get the paperwork in order since this can be a messy situation to compute.  And I hope you are taking a reasonable salary in addition to the draws because if you are not the IRS can penalize you severely so seek professional help to get your books in order and complete at least the first corporate return.

[T1SanDiego]

Yes, taking "reasonable salary."  Can anyone else answer my question?

[TaxGuyBill]

Yes, you can do that.  It will be all reported on the corporate tax return.

I agree with Critter.  In my opinion it is foolish for a new corporation to not use a good tax professional.  Doing things wrong can easily cost you thousands of dollars.