Steps to fill out form 8802 for an S-Corp

At Inversoft, I’ve been working on getting our tax exemption for various European countries. This process requires a valid 8802 be submitted to the IRS. In return, the IRS will ship you out a shiny new form 6616 that you can snail mail across the Atlantic to the country of your choice. Yes, feel the sarcasm. This process is unbelievably dated, horrific, slow, lame, tree-killing, etc.

After talking to a number of accountants, some knowledgable and many not, I finally have the form filled out correctly and I’m about to drop it in the mail. Since this process is SOOOO painful, I figured I would give other S-Corp owners a heads up to hopefully save their sanity and a bunch of time.

Here’s exactly how to fill out form 8802:

  1. Put your full legal company name at the top under Applicant Name
  2. Put your S-Corp’s FEIN under Applicant’s U.S. taxpayer identification number
  3. Leave Line 1 blank
  4. Put in your company address on Line 2. I put in the exact same address on my S-Corp’s tax return since we haven’t moved this year. I don’t know if this is required, but might as well error on the safe side.
  5. Put in your company address on Line 3a
  6. Put in your name (that is you the shareholder/CEO) in Line 3b
  7. Checkmark Line 4f since you are an S-Corp
  8. Checkmark 1120s under the Yes. heading of Line 5
  9. Leave Line 6 blank
  10. Write 2018 on Line 7
  11. Put the last year and month you filed a tax return for on Line 8. This is the fiscal year end. So, in my case, the last year and month (fiscal year end) I filed was December 2017, so I put in 201712 and it MUST be in this format.
  12. Checkmark Income Tax on Line 9
  13. Write this exact text in two (2) separate lines on Line 10
    <Shareholder name> <Shareholder SSN> is a U.S. resident and will continue to be throughout the current tax year.
    <S-Corp name> <S-Corp FEIN> has filed its required return and the entity classification has not changed since the return was filed.
  14. Sign, date, add your phone number, name and title to the bottom
  15. Put your S-Corp name at to the top of the worksheet with your FEIN
  16. Put the current calendar year on the worksheet (still at the top section)
  17. Line 11 (on the worksheet) pick the country (or countries) you need and ask for 5 forms each
  18. Make sure you put in the correct total on Line 12

That’s all you need for form 8802. However, since you are filling this out for an S-Corp and according to tax law and treaties, S-Corp’s can’t claim exemptions or be identified as a corporation, you need to fill out a form 8821 also. The 8821 form is an authorization made by the shareholder in an S-Corp that is certifying that the form 8802 is correct. This is part of the perjury statement.

Filling out the form 8821 is also a nightmare and the instructions suck, so here are the steps for that form as well:

  1. Put your personal information (since you are the shareholder) on Line 1 (i.e. I put Brian Pontarelli here with my home address) including your SSN and phone number
  2. Leave Line 2 blank
  3. Don’t checkmark the checkbox on Line 3
  4. Write Income on Line 3a
  5. Write 1040 on Line 3b
  6. Write 2016, 2017, 2018, 2019, 2020 on Line 3c (or whatever years you need)
  7. Write Form 8802 on Line 3d
  8. Leave Line 4 blank
  9. Checkmark Line 5a
  10. Leave Line 6 blank
  11. Sign, date, print your name and put your title as CEO (or whatever it is)

That should be it. I’m sending mine off next week, so if they aren’t accepted, I’ll update this post with any fixes I made.

13 thoughts on “Steps to fill out form 8802 for an S-Corp

  1. Hello Sir,

    My name is Jan and I have a dilemma.

    My boss gave me a task on filling for his Form 8802 under S Corp. Now my problem is that I don’t think he has shareholders.

    How can I fill out the form 8821 knowing that he doesn’t have any shareholders?

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      1. Thank you Brian for your quick response.

        I have other questions:

        1. Let say he is the only shareholder. Is he going to be one who will fill out the Form 8821 too?

        2. On “Line 11 (on the worksheet) pick the country (or countries) you need and ask for 5 forms each” we only need it for our client in India. Is it okay to request up to 5 forms and the fee will be the same, $85 for the overall cost of the application?

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      2. Here are answers:

        #1 – His information should be on form 8821 also. That form is for the shareholder.

        #2 – You can order as many copies as you like for the $85 fee. At least, that’s what the instructions imply. I would assume they would reject it if you asked for like 10,000 copies.

        😉

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      3. Hi Brian,

        On the Form 8802.

        Your Number 10 instruction for Line 7 says:

        Write this exact text in two (2) separate lines on Line 7
        is a U.S. resident and will continue to be throughout the current tax year.
        has filed its required return and the entity classification has not changed since the return was filed.

        —-

        In the form 8802 that I have, Line 7 says:

        Calendar year(s) for which certification is requested.
        Note. If certification is for the current calendar year or a year for which a tax return is not yet required to be filed, a penalties
        of perjury statement from Table 2 of the instructions must be entered on line 10 or attached to Form 8802 (see instructions).

        So I guess I should put the year that I am requesting the certification which is this year, 2018. And not the one that you instructed? Please enlighten me. Thank you so much!

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      4. Oops. Thanks for finding that issue. I updated the post to have the correct information for Line 7 and Line 10 (the perjury statement). Let me know if those items don’t make sense or don’t line up with your form correctly.

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  2. Hi Brian,

    Thank you for being responsive. I really do appreciate your big help!

    My last questions are ff:

    1. What’s the status of your application now? Did you already receive the Form 6616?
    2. If so, may I know the timeline of the application from lodging up to receiving the Form 6616?
    3. How did you pay the user? ePay or check?
    4. How did you send the documents? Snail mail or fax?
    5. Aside from sending the Form 8802 & 8821 for the S-Corp (Single Shareholder), what are the other attachments did you include?

    Like

    1. Hi Jan,

      #1 – I faxed my forms in the first time and they were rejected. Don’t fax them in, mail them in or use Fedex or something. I’m still waiting on the second round.
      #2 – It takes a long time. 8 weeks or so.
      #3 – I paid online and put the online payment number on the forms.
      #4 – Fax, but definitely use snail mail.
      #5 – I didn’t include any other attachments.

      Like

  3. Hi Brian,

    I thought that would be my last questions.

    I have some more clarifications.

    1. On the Form 8802 – your instruction in # 10 says: Put the current calendar year on the worksheet (still at the top section). Now, I don’t see any field on the top section to put the current calendar year and I assume I should put 2018? I downloaded the form from IRS site so I bet it’s up to date.

    2. On the Form 8821 – your instruction in # 6 says: Write 2016, 2017, 2018, 2019, 2020 on Line 3c (or whatever years you need). Does this mean we have to the year 2018 since we need the Form 6616 for this year?

    Thank you in advance!

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    1. #1 – My step #10 says to put “2018” on line 7. Your line 7 should say something like “Calendar year(s) for which certification is requested.”.

      #2 – The section is just to request authorization from the main shareholder (i.e. me) to allow the company to ask for form 6616s using form 8802. Basically, this means that you don’t have to keep filling out form 8821 each year since you granted authorization for future years.

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  4. Hi,

    Thanks so much for posting this incredibly helpful guide and (hopefully) saving my sanity!

    The fee just went up (on 12/1/2018) to $185 for “non-individuals” — is an s-corp a non-idividual or not? (ack! there goes my sanity!!!)

    Two more questions, my wife is also a shareholder (49%) in my s-corp. Do we need to file an 8821 for her also? And, does she need to be listed anywhere on the 8802?

    Thanks again! — If you’re ever in Portland, OR I’ll buy you a beer!

    -Donald

    Like

    1. I’m not sure on the S-Corp being an individual. I think you can probably look that up in the IRS code or ask your accountant. My guess is that an S-Corp is an individual since it is a pass-through entity.

      If you have multiple shareholders, I think only the shareholder that is specified on the 8802 needs a 8821. Again, I’d have to check with an accountant to be certain though.

      I haven’t been to Portland in a while, but maybe there will be a conference out there next year that I can speak at so we can grab a beer. 🙂

      Like

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