Your tax entity type should reflect one of the below:
- Form 1065 – This means that you are a partnership for tax purposes and file a Form 1065, or Partnership Income Tax Return, at year end.
- Form 1120 – This means that you are a corporation for tax purposes and file a Form 1120, or Corporation Income Tax Return, at year end.
- Form 1120S – This means that you are an S-corporation for tax purposes and file a Form 1120S, or S-Corp Income Tax Return, at year end.
- Schedule C / Form 1040 – This means that you are a sole proprietor for tax purposes and report your income and losses on your Schedule C, which is then filed with a Form 1040, or Individual Income Tax Return, at year end.
As an S Corporation you cannot file your personal tax return (Form 1040) until you have submitted your S Corporation tax return (Form 1120S).