The Tax Administration Simplification Act extends the deadline for businesses to elect S corporation status, allowing them to make elections by the tax return filing deadline rather than within the first two and a half months of the tax year. The bill also gives the IRS authority to treat late S corporation elections and revocations as timely if there was reasonable cause for the delay. Additionally, the legislation shifts the quarterly estimated income tax payment dates for individuals, moving the second installment from June 15 to July 15 and the third from September 15 to October 15. Finally, the bill extends what's known as the "mailbox rule" to electronic tax filings and payments, meaning that if a document or payment is transmitted electronically by the deadline but received after it, the transmission date counts as the filing or payment date. Most changes take effect for tax years beginning after the bill's enactment, except the electronic filing provisions, which apply one year after enactment.
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