Process to close my new S Corp before commencing operation

[arunpselvam]

I recently (04 Jan 2024) opened a single member S Corp (based on advise from CPA on tax benefits), I haven't conducted any business with this S Corp (I'm based in Maryland) yet, so $0 in/out (no asset or anything).

I would like to close this S Corp and open a LLC to keep it simple for my year-end taxes (as I don't want additional overhead that comes with S Corp of running payroll, profit/loss process, board meetings, etc).

What I have now is EIN from IRS, Business Bank accounts and business credit card.

I just want to start clean with new LLC and close the S Corp.

1. Is it possible for me to elect my current S Corp to be taxed as LLC (a change in status) ? If yes, How would I do that ?
2. If not, what are the actions I need to take to properly close this S Corp ?
   • With state (MD), I see the process is straight-forward, I can apply for dissolution of my company with the state following their process.
   • What steps I need to take with IRS for closing my EIN ? (I'm not clear on this). 

[DavidD66]

Do you have corporation that you elected S-Corp status for, or do you have an LLC that you requested S-Corp status for?  You should be able to tell by the name - if it has LLC, Ltd, Limited Liability Company, etc. as a part of the name, its an LLC.  If it has Inc., Incorporated, etc. it's a corporation.

[arunpselvam]

Thank you checking. It is "Inc"

[RobertB4444]

An S-Corp isn't a type of corporation.  It's the way that the corporation is taxed.  You have not filed an S-election with the IRS (which is a separate form that is often included with the first year's tax return) so you are not an S-corp yet even though you structured your corporation with the intention of becoming one.  

In order to change your simple corporation to an LLC I would advise you to consult an attorney in your area.  There should just be a couple of quick documents to file and your company will be changed over.  

@arunpselvam