Does my state require a separate S Corp election? (2026 state-by-state guide)

You filed federal Form 2553. The IRS sent your CP261 acceptance letter. Does your state need its own S Corp election too?

In 2026, almost certainly not — unless you're in New York. New York is the only state that still requires a separate state-level S election (Form CT-6). No other state has an election form for you to file.

"No separate election" isn't the same as "no state tax," though. A few jurisdictions — the District of Columbia, New York City, Tennessee, and New Hampshire — tax S Corps at the entity level as if the federal election didn't exist, and several states charge S Corps a gross-receipts, franchise, or minimum tax regardless of S status.

Updated October 2, 2026: we re-verified every state against its revenue department's own forms and guidance, and every claim below links to the official source. Earlier versions of this guide wrongly said Arkansas, Ohio, and Wisconsin required separate state S elections. They don't.

TL;DR — the table

The state-by-state reference at the bottom covers all 50 states and DC, with a source for each.

Recently changed — if you read older advice, read this

Much of what's online about state S elections is years out of date. The big ones:

• Arkansas dropped its separate election in 2018. Act 434 of 2017 amended Ark. Code Ann. § 26-51-409(b) so that a federal S election is "deemed to have been made for Arkansas income tax purposes," and a federal S Corp can no longer choose C-corp treatment for Arkansas. Form AR1103 applies only to tax years beginning before January 1, 2018. (Arkansas DFA, 2025 Subchapter S instructions; Act 434 is described in the 2020 instructions)
• Louisiana recognizes S Corps starting in 2026. Act 382 of 2025 makes S Corps pass-through entities for tax periods beginning on or after January 1, 2026 — "no election is needed." Louisiana's corporation franchise tax is also repealed for franchise tax periods beginning on or after that date. (LDR Revenue Information Bulletin 25-032; LDR franchise tax FAQ)
• New Jersey went automatic on December 22, 2022. No more Form CBT-2553 for current years (details below).
• Wisconsin isn't an opt-in state. A federal S Corp is automatically a Wisconsin "tax-option (S) corporation"; the form people confuse for an election, Form 5E, is the election not to be one.

New York — Form CT-6 (the one separate election left)

The form: Form CT-6, Election by a Federal S Corporation to be Treated as a New York S Corporation (Tax Law § 660(a)). The corporation must already be a federal S Corp — if your federal election is still pending, you can file CT-6 and indicate that it's pending — and every shareholder must consent.

The deadline: any time during the preceding tax year, or on or before the 15th day of the 3rd month of the tax year the election should start. For a calendar-year company that's March 15. A newly formed New York corporation has until the 15th day of the 3rd month after its incorporation date; an out-of-state corporation has until the 15th day of the 3rd month after it starts doing business in New York.

If you don't file it: New York taxes the company as a C corporation on Form CT-3 until a CT-6 takes effect. The one exception is a "deemed" election: a federal S Corp whose investment income is more than 50% of its federal gross income is treated as a New York S Corp automatically. (CT-3-S instructions)

Even with NY S status: a New York S Corp files Form CT-3-S and still pays New York's fixed dollar minimum tax — from $25 to $4,500 depending on New York receipts. (CT-3-S instructions)

Approval: New York notifies you whether the election is approved and the date it takes effect. Don't file CT-3-S until you hear.

Late filing: under Tax Law § 660(b)(5), the Tax Commissioner may treat a late election as timely if there was reasonable cause for missing the deadline (TSB-M-98(4)C). And when the IRS retroactively validates a federal election, New York may retroactively validate the state election for the same period (CT-6 instructions). Both are discretionary; neither is guaranteed.

New York City is separate. The city's General Corporation Tax now applies only to S corporations and qualified subchapter S subsidiaries, and "New York City does not have an S corporation election and does not recognize a New York State S corporation election." A CT-6 helps with New York State tax only. (NYC Department of Finance)

We file it for you, free. For New York businesses that opt in, FileMyScorp prepares Form CT-6 alongside your federal 2553 and faxes it to the New York State Tax Department at no extra charge — check one box at intake.

New Jersey — automatic since December 22, 2022 (but not paperwork-free)

Under P.L. 2022, c. 133, a corporation with a valid federal S election is automatically a New Jersey S corporation for privilege periods beginning on or after December 22, 2022. There's no Form CBT-2553 and no separate state election. (NJ Division of Taxation — S corporation procedural changes FAQ)

What New Jersey does still require, per that FAQ:

• Registration as a corporation with the Division of Revenue and Enterprise Services (DORES).
• Proof of federal S status — a copy of your CP261 (or 385C) acceptance letter, uploaded at registration, through the DORES S corporation system, or with your Form CBT-100S.
• A Shareholder Jurisdictional Consent (Schedule SJC) — the shareholders' acknowledgment that New Jersey can tax their share of S Corp income.

Two other cases:

• Old tax years. For privilege periods beginning before December 22, 2022, a company that never made the NJ election needs a retroactive New Jersey S corporation application to have those years treated as S years. Cleanup only — it doesn't affect current years.
• Opting out. A federal S Corp can choose to be taxed as a C corporation in New Jersey (a "hybrid") with the consent of 100% of shareholders. There's no opt-out form: the company keeps the signed consent and files a C-corporation return instead of Form CBT-100S.

We cover New Jersey in more depth in New Jersey's S Corp election is automatic now.

Wisconsin — automatic; Form 5E is the opt-out

For Wisconsin purposes, a "tax-option (S) corporation" is any federal S corporation that "has not elected out of tax-option corporation status." No state election is needed; the company files Wisconsin Form 5S. (2025 Form 5S instructions)

• Form 5E is the election not to be a tax-option corporation. It needs consent from shareholders holding more than 50% of the shares, and once made it sticks for that year plus the next four. A federal S Corp with a QSub can't opt out.
• The entity-level tax is opt-in. A tax-option corporation can elect to pay Wisconsin tax at the entity level at 7.9% (a pass-through-entity tax election) by checking a box on its Form 5S, with more-than-50% shareholder consent. Nothing happens by default. (2025 Schedule 5S-ET instructions)

Pennsylvania — automatic; REV-976 is the opt-out

Pennsylvania has followed the federal election automatically since 2006: "Effective for tax years beginning after Dec. 31, 2005, any corporation with a valid federal subchapter S corporation election will automatically be a Pennsylvania S corporation." A company that wants Pennsylvania C-corp treatment instead files Form REV-976, signed by 100% of shareholders, by the due date of its first affected corporate tax report — and can't revoke it for five years. (PA Department of Revenue, REV-976)

Georgia — automatic, but every nonresident shareholder must consent

Georgia recognizes the federal election, but "any nonresident shareholders must complete Form 600S-CA for the election to be recognized." (2025 Georgia IT-611S booklet) The consent is filed once, in the first year the company has to file a Georgia return, and again for each new nonresident shareholder. If even one nonresident shareholder doesn't sign, the form's instructions are blunt: don't file the S Corp return (Form 600S) — file the C-corporation return (Form 600). (Form 600S-CA) Georgia also charges S Corps its net worth tax.

Several other states have nonresident-shareholder forms too, but there a missing form means withholding or tax paid by the company, not lost S status. Oklahoma's Form 512-SA is the closest call — see the table.

Arkansas — automatic since 2018

Arkansas law now says a federal S election "is deemed to have been made for Arkansas income tax purposes," and a federal S Corp "shall not elect to be treated as a C corporation" for Arkansas. File Form AR1100S each year; Form AR1103 is only for tax years that began before January 1, 2018. (2025 Subchapter S instructions)

Ohio — automatic, nothing to attach

Ohio has no S election form. The Ohio Department of Taxation defines a pass-through entity as "an S corporation, a partnership ... or a Limited Liability Company (LLC) treated as either a partnership or an S corporation for federal income tax purposes" — federal status is what counts. (Ohio Department of Taxation — pass-through entities) Ohio's 2025 pass-through return instructions (IT 1140, IT 4708) don't ask for a copy of Form 2553.

Two Ohio details worth knowing:

• Nonresident shareholders. An S Corp with nonresident shareholders generally withholds Ohio tax on their share (Form IT 1140) or files a composite return for them (Form IT 4708). (Ohio Department of Taxation — pass-through entities)
• The Commercial Activity Tax (CAT) is a gross-receipts tax on all business structures, S Corps included. For 2025 and later it applies only to businesses with more than $6 million in Ohio taxable gross receipts, at 0.26%, and the annual minimum tax ended in 2024 — so an S Corp under that threshold owes no CAT. (Ohio Department of Taxation — CAT)

Louisiana — S status recognized starting 2026

Before 2026, Louisiana taxed S Corps like C corporations unless they elected the S corporation exclusion. For tax periods beginning on or after January 1, 2026, Act 382 of 2025 treats S Corps as pass-through entities automatically. The company files Form CIT-620 as an informational return, the shareholders pay the tax, and the S Corp can make a composite payment for nonresident shareholders or elect to pay tax at the entity level instead. (LDR RIB 25-032)

Tax years that began before January 1, 2026 stay under the old rules.

Where S status doesn't stop an entity-level tax

These jurisdictions don't require any election — your federal 2553 still controls your federal taxes — but they tax the S Corp itself anyway. The federal S election can still save money; the state-level savings are just smaller or gone. Our S Corp tax savings calculator runs the federal side.

District of Columbia

"For District tax purposes, S corporations ... are C corporations." S Corps file the Form D-20 franchise tax return and pay 8.25% of DC taxable income, with a minimum tax of $250 (DC gross receipts of $1 million or less) or $1,000 (above $1 million). (DC OTR, 2025 D-20 instructions)

New York City

The General Corporation Tax applies only to S corporations and QSSSs, and NYC recognizes neither the federal nor the New York State S election (see the New York section above). (NYC Department of Finance)

Tennessee

Tennessee's franchise and excise tax applies to S Corps. Excise tax is 6.5% of net earnings, and for an S Corp "net earnings" means federal taxable income "calculated as if the corporation had not elected S status." Franchise tax is 0.25% of net worth, with a $100 minimum. (Tennessee Department of Revenue, Franchise & Excise Tax Manual, June 2026)

New Hampshire

New Hampshire treats "Sub-S corporations ... the same as C Corporations" for its Business Profits Tax — 7.5% for taxable periods ending on or after December 31, 2023, with a return required once gross business income exceeds $109,000 (periods beginning on or after January 1, 2025). (NH DRA — BPT FAQ) The Business Enterprise Tax adds 0.55% of the enterprise value tax base (compensation, interest, and dividends paid) once gross receipts or that base exceed $298,000. (NH DRA — BET FAQ)

Texas

Texas has no income tax, but its franchise (margin) tax applies to every taxable entity, and the Comptroller's list expressly includes S corporations. (Franchise Tax Overview) For 2026 and 2027 reports, an entity owes nothing if total revenue is at or below the $2.65 million no-tax-due threshold — but it still has to file its Public Information Report or Ownership Information Report. Above the threshold the rate is 0.75% (0.375% for retail and wholesale). (Texas Comptroller — Franchise Tax)

States that recognize S status but still charge the S Corp something

Recognizing the election doesn't always mean the company itself owes nothing. A few examples, each sourced in the table below:

• California: 1.5% of net income, with an $800 minimum franchise tax.
• Illinois: the 1.5% Personal Property Replacement Income Tax.
• Massachusetts: a corporate excise with a $456 minimum, plus an income-based tax of 2% to 3% once gross receipts reach $6 million.
• Minimum or flat taxes: Rhode Island ($400), Vermont ($250), Kentucky ($175 minimum Limited Liability Entity Tax), Oregon ($150), New Mexico ($50 franchise tax), and Minnesota's minimum fee for larger companies.
• Franchise, privilege, and net-worth taxes: Alabama, Georgia, North Carolina, and Mississippi (whose franchise tax is being phased out).
• Gross-receipts taxes on most businesses: Ohio (above $6 million), Washington's B&O tax, and Nevada's Commerce Tax (above $4 million).

Many states also tax the S Corp directly on the rare items the IRS taxes at the corporate level, such as built-in gains. And local taxes are their own world: beyond New York City, some cities tax S Corps as corporations — Detroit's city income tax, for example, treats "a tax option corporation (S corporation ...)" as a corporation. (City of Detroit 2025 corporate income tax forms)

Every state at a glance

Checked October 2, 2026 against each state's own forms, guidance, or statutes. "No" means there's no state S election form to file. In most states your federal election simply carries over; where noted, the state ignores S status for its entity-level tax.

What this means for your filing

1. Almost every state: file federal Form 2553, keep your CP261 letter somewhere permanent, and file whatever annual return your state requires. No state election.
2. New York: file Form CT-6 by the 15th day of the 3rd month of the tax year. If you're in New York City, budget for the General Corporation Tax as well.
3. New Jersey: no election, but register as a corporation and send the state your CP261 and Shareholder Jurisdictional Consent.
4. Georgia with nonresident shareholders: collect a signed Form 600S-CA from each one, or Georgia won't recognize the election.
5. DC, Tennessee, New Hampshire, and larger Texas businesses: your S Corp still pays that jurisdiction's entity-level tax. Run the numbers with your CPA.

What we file vs. what you file

FileMyScorp files: federal Form 2553 — and, for New York businesses that opt in, Form CT-6 at no extra charge.

You (or your CPA) handle: your annual state returns, New Jersey's registration and Shareholder Jurisdictional Consent, Georgia's nonresident consents, any state opt-out or entity-level tax elections, and entity-level taxes like DC's franchise tax or Tennessee's franchise and excise tax.

File your federal S Corp election with FileMyScorp

Form 2553 is faxed or mailed to a specific IRS service center, with every required shareholder signature on it. Our intake routes your form to the correct service center for your state, collects every shareholder's signature before anything goes out, and assembles the Rev. Proc. 2013-30 narrative when your election is late. Pricing is flat: $49 fax, $50 USPS Certified Mail with tracking, $99 for both — late elections and the New York CT-6 add-on cost nothing extra. Tax professionals filing for clients pay a flat $49 for any method.

Start your filing →

State tax rules change. Every state statement above was checked against the linked official sources on October 2, 2026; confirm current forms and deadlines with your state's revenue department before you file. FileMyScorp is operated by MI TAX LLC and is not affiliated with the IRS or any state tax agency. This article is general information, not legal or tax advice for your specific situation.