Understanding Your CP286 Notice
We send this notice when we approve Form 8716, Election To Have a Tax Year Other Than a Required Tax Year.
What you need to do
- Timely file your annual business income tax returns (Form 1065, U.S. Return of Partnership Income or Form 1120S, U.S. Corporation Income Tax Return) on the approved fiscal tax year.
- Timely file Form 8752, Required Payment or Refund Under Section 7519, annually (due by May 15th).
- Timely make all payments Form 8752 requires.
You may want to
- Retain this notice in your permanent records
- Visit Where to File Your Taxes (for Form 8752)
- Review the instructions for Form 8752 on page 3 of the form
Answers to Common Questions
What should I do if I want to change my tax year for Form 1065 or Form 1120S to a calendar year filing?
File a final Form 8752, which will terminate your section 444 election. If you have a credit on your account, you must file a final Form 8752 for us to refund the payments to you. You must also file a short period business income tax return with your final Form 8752 (Form 1065 or Form 1120S) ending December 31.
Do I need to file Form 8752 when I don’t owe a payment?
Yes. You must file Form 8752 each year the section 444 election is in effect, even if no payment is due.
What if I am no longer required to file a Form 1065 or Form 1120S? Do I need to ask the IRS to terminate my election?
Yes. You must send a final Form 1065 or Form 1120S, along with a final Form 8752.
Are there any consequences if I don’t file Form 8752 or send in my payment when I file?
Failure to file or failure to pay will result in the termination of your fiscal year election.
Understanding your notice
Your notice may look different from the sample because the information contained in your notice is tailored to your situation.
Notice CP286, Page 1