ammending an irs 2553 (s corp)

The problem is that your respective schedules K-1's from the corporation should have apportioned the profits in the 60/40 ratio. Probably not necessary to amend, since there's no effect on your joint form 1040.

So, with 1 million shares authorized, and only 1,000 outstanding, the corporation still has a bunch of shares which can be sold to new shareholders. You can either (a) let the corporation sell additional shares to the new guys, and/or (b) sell some of your and wife's shares. Whatever you do, just remember the element of control. If you and wife own less than 50% of the common stock, you lose control. As for the 2553, no such thing as an amendment. The original election remains in effect until either (a) it is terminated by the corporation, or (b) something occurs to nullify it. I would suggest you obtain the services of a local tax pro, either an Enrolled Agent (EA) or Certified Public Accountant (CPA) who is versed in the intricacies of S corporations. ChEAr$, Harlan Lunsford, EA n LA