[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 684 Introduced in Senate (IS)]
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119th CONGRESS
1st Session
S. 684
To amend the Internal Revenue Code of 1986 to extend the period of time
for making S corporation elections, and for other purposes.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
February 24, 2025
Mrs. Blackburn (for herself and Ms. Cortez Masto) introduced the
following bill; which was read twice and referred to the Committee on
Finance
_______________________________________________________________________
A BILL
To amend the Internal Revenue Code of 1986 to extend the period of time
for making S corporation elections, and for other purposes.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``Tax Administration Simplification
Act''.
SEC. 2. EXTENSION OF TIME FOR MAKING S CORPORATION ELECTIONS.
(a) In General.--
(1) When election made.--Section 1362(b)(1) of the Internal
Revenue Code of 1986 is amended to read as follows:
``(1) In general.--An election under subsection (a) may be
made by a small business corporation for any taxable year not
later than the due date for filing the return of the S
corporation for such taxable year (including extensions).''.
(2) Conforming amendments.--
(A) Section 1362(b)(2) of such Code is amended--
(i) by striking ``during such year and on
or before the 15th day of the 3d month of such
year'' in subparagraph (A) and inserting
``within the period described in paragraph
(1)'', and
(ii) by striking ``made during the first 2
\1/2\ months'' in the heading thereof.
(B) Section 1362(b) of such Code is amended by
striking paragraphs (3) and (4) and by redesignating
paragraph (5) as paragraph (3).
(C) Section 1362(b)(3) of such Code, as
redesignated by subparagraph (B), is amended--
(i) by striking ``(determined without
regard to paragraph (3))'' in subparagraph (A),
and
(ii) by striking ``(and paragraph (3) shall
not apply)''.
(D) Section 1362(b) of such Code, as amended by the
preceding provisions of this subsection, is amended by
adding at the end the following new paragraphs:
``(4) Election on timely filed returns.--Except as
otherwise provided by the Secretary, an election under
subsection (a) for any taxable year may be made on a timely
filed return of the S corporation for such taxable year.
``(5) Secretarial authority.--The Secretary may prescribe
such regulations, rules, or other guidance necessary to
implement this subsection, including forms or other guidance
for making the election in the manner described by this
subsection.''.
(b) Coordination With Certain Other Provisions.--
(1) Qualified subchapter s subsidiaries.--Section
1361(b)(3)(B) of the Internal Revenue Code of 1986 is amended
by adding at the end the following flush sentence:
``Rules similar to the rules of section 1362(b) shall
apply with respect to any election under clause
(ii).''.
(2) Qualified subchapter s trusts.--Section 1361(d)(2) of
such Code is amended by striking subparagraph (D).
(c) Revocations.--Section 1362(d)(1) of the Internal Revenue Code
of 1986 is amended--
(1) by striking ``subparagraph (D)'' in subparagraph (C)
and inserting ``subparagraphs (D) and (E)'', and
(2) by adding at the end the following new subparagraph:
``(E) Authority to treat late revocations as
timely.--If--
``(i) a revocation under subparagraph (A)
is made for any taxable year after the date
prescribed by this paragraph for making such
revocation for such taxable year or no such
revocation is made for any taxable year, and
``(ii) the Secretary determines that there
was reasonable cause for the failure to timely
make such revocation,
the Secretary may treat such a revocation as timely
made for such taxable year.''.
(d) Effective Date.--
(1) In general.--Except as otherwise provided in this
subsection, the amendments made by this section shall apply to
elections for taxable years beginning after the last day of the
calendar year which includes the date of the enactment of this
Act.
(2) Revocations.--The amendments made by subsection (c)
shall apply to revocations made after the date of the enactment
of this Act.
SEC. 3. QUARTERLY INSTALLMENTS FOR ESTIMATED INCOME TAX PAYMENTS BY
INDIVIDUALS.
(a) In General.--The table contained in section 6654(c)(2) of the
Internal Revenue Code of 1986 is amended--
(1) by striking ``June 15'' and inserting ``July 15'', and
(2) by striking ``September 15'' and inserting ``October
15''.
(b) Effective Date.--The amendments made by this section shall
apply to installments due in taxable years beginning after the date of
the enactment of this Act.
SEC. 4. EXTENSION OF MAILBOX RULE TO ELECTRONIC SUBMISSIONS AND
PAYMENTS.
(a) In General.--Section 7502(c) of the Internal Revenue Code of
1986 is amended--
(1) in the heading, by inserting ``and Payment'' after
``Filing'',
(2) in paragraph (2)--
(A) in the heading, by striking ``; electronic
filing'', and
(B) by striking ``and electronic filing'', and
(3) by adding at the end the following:
``(3) Electronic filing and payment.--
``(A) In general.--In the case of any document
which the Secretary has permitted to be filed by
electronic means (or, in the case of any payment, which
the Secretary has permitted to be made by electronic
means), if such document or payment is--
``(i) transmitted by the permitted
electronic means to the agency, officer, or
office to which the document was required to be
filed (or payment was required to be made) on
or before the prescribed date (or within the
period required) with respect to such document
or payment, and
``(ii) received (or, in the case of a
payment, received and accounted for) after the
prescribed date or period required with respect
to such document or payment,
the date that such document or payment was transmitted
(as described in clause (i)) shall be deemed to be the
date that such document was filed or such payment was
made.
``(B) Regulations.--Not later than the date which
is 1 year after the date of enactment of the Tax
Administration Simplification Act, the Secretary shall
issue such regulations or other guidance as the
Secretary determines necessary to carry out the
purposes of this paragraph.''.
(b) Effective Date.--The amendments made by subsection (a) shall
apply to any document or payment sent on or after the date which is 1
year after the date of enactment of this Act.
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