u/Dima137731 — reddlx

Hey guys,

I think I might be in a messy situation and want to understand if I’m overthinking or if my accountant actually screwed this up.

I have a single-member LLC that I formed in 2024.

I just did my taxes for 2025, and while reviewing everything I realized that my accountant filed an S-Corp election (Form 2553) retroactively, effective May 27, 2024. I wasn’t really aware of what that fully meant at the time.

It seems like as an S-Corp I’m supposed to run payroll and pay myself a “reasonable salary”.

The problem is:

I did zero payroll in 2024
My accountant never clearly told me I need to set that up
No W-2, nothing like that

Now I’m confused:

Do I actually need to go back and run payroll for 2024 and 2025 since the S-Corp started May 27, 2024?
How bad is this situation realistically?

For context: 2025 income was around $55k

Thanks.