Is EIN notice of business status binding?

[ctdkite]

Last year my wife started her own professional practice.  For state purposes, she accidentally registered as a PLLC, even though there are no partners.  When she applied for an EIN, the CP 575 letter stated she business must file as corporation with a Form 1120.  At the same time, the letter says that determination is not binding on the IRS.

Does she have to file a Form 1120?  Whether as the mistaken partnership status (now corrected) or a single member LLC, which she really is, the IRS treats as a disregarded entity. If she files as either one of those, does she need to include Form 8832?

[DaveF1006]

To clarify, how did she file her federal return last year? Was it filed as a Schedule C?

[ctdkite]

She did not file last year. 2023 was her first year for the business.

[RobertB4444]

Then she can just file a schedule C on your personal return.  As a disregarded entity that is the simplest path, although she should consult with someone as to whether an S-election is right for her at this point.

@ctdkite