9100-3 relief granting a late Form 1128 to adopt a 52-53 week taxable year after the advisor missed the deadline

Plain-English summary

To change or adopt a tax year, a taxpayer generally must file Form 1128 by the
due date of the return for the first year affected. Here, a taxpayer wanted to
adopt a 52-53 week fiscal year but its tax advisor, misunderstanding the due
date, filed the return and Form 1128 late. The taxpayer caught the mistake and
asked the IRS for relief under the "9100" regulations (Treas. Reg. §§
301.9100-1 through -3), which let the IRS extend the time to make a regulatory
election if the taxpayer acted reasonably and in good faith and granting relief
would not hurt the government's interests. Because the taxpayer had reasonably
relied on a qualified professional who dropped the ball, and the request came
less than 90 days after the missed deadline, the IRS granted the extension. The
late-filed Form 1128 is treated as timely, and the application was forwarded to
the Ogden service center for processing. The ruling is limited strictly to the
Form 1128 filing.

Ruling snapshot

• Question: Should the taxpayer get an extension of time to file Form 1128
  to adopt a 52-53 week taxable year after its advisor missed the deadline?
• Outcome: Approved (9100-3 relief granted; late Form 1128 deemed timely).
• Key authorities: IRC §§ 441, 442; Treas. Reg. §§ 301.9100-1 through
  301.9100-3; Rev. Proc. 2006-45.

Full text (IRS public release)

Internal Revenue Service                       Department of the Treasury
                                               Washington, DC 20224

Number: 202612008
Release Date: 3/20/2026
Index Number: 9100.00-00
                                               Person To Contact:
                                               ----------, ID No. --------
                                               Telephone Number:
                                               --------
                                               Refer Reply To:
                                               CC:ITA:B08
                                               PLR-114428-25
                                               Date:
                                               December 16, 2025


                                    LEGEND

             Taxpayer        =   --------
             Advisor         =   --------
             Tax Year        =   --------
             Date 1          =   --------
             Date 2          =   --------
             Date 3          =   --------
             Date 4          =   --------
             Year 1          =   --------


Dear ----- --------:

This letter responds to Taxpayer's request dated Date 1, seeking a private letter ruling
granting relief to make a late election pursuant to §§ 301.9100-1 through 301.9100-3 of
the Procedure and Administration Regulations. Specifically, Taxpayer requests an
extension of time to file Form 1128, Application to Adopt, Change or Retain a Tax Year,
to adopt a taxable year ending on Date 2, effective for Year 1.

                                     FACTS

Taxpayer's Form 1128 electing a taxable year ending Date 2 for Year 1 was due on or
before Date 3. Taxpayer engaged Advisor, a qualified tax professional, to file
Taxpayer's federal tax return for Year 1. Due to a misunderstanding of the due date for
Taxpayer's Year 1 tax return, Advisor did not file by Date 3. The error was not due to
any lack of due diligence or prompt action on the part of Taxpayer. Taxpayer filed its
federal tax return, including the Form 1128, on Date 4. As part of its review, Taxpayer
realized the mistake and subsequently filed this request on Date 1, which was less than
90 days after Date 3, the missed deadline for timely filing Taxpayer's Form 1128.

Rev. Proc. 2006-45 provides the time and manner for a taxpayer within its scope to
change its accounting period. Therefore, such a change is a regulatory election as
defined § 301.9100-1(b).

                              LAW AND ANALYSIS

Section 441(a) of the Internal Revenue Code provides that taxable income is computed
on the basis of the taxpayer's taxable year. Section 441(b) and § 1.441-1(b)(1) of the
Income Tax Regulations provide that the term "taxable year'' generally means the
taxpayer's annual accounting period, if it is a calendar or fiscal year, or, if applicable, the
taxpayer's required taxable year.

Section 441(e) provides that in the case of any taxpayer who has made the election
provided by subsection (f), the term fiscal year means the annual period (varying from
52 to 53 weeks) so elected.

Section 441(f)(1) provides, in general, that a taxpayer may elect to compute its taxable
income on the basis of a fiscal year which varies from 52 to 53 weeks, ends always on
the same day of the week, and ends always on (A) whatever date this same day of the
week last occurs in a calendar month, or (B) whatever date this same day of the week
falls which is nearest to the last day of the calendar month.

Section 442 provides that if a taxpayer changes its annual accounting period, the new
accounting period shall become the taxpayer's taxable year only if the change is
approved by the Secretary.

Section 4.01 of Rev. Proc. 2006-45 provides that a change to a 52-53 week taxable
year may be an automatic accounting period change, provided the requirements of Rev.
Proc. 2006-45 are met. Section 7.02(2) of Rev. Proc. 2006-45 provides that taxpayer
must file a form 1128 no earlier than the day following the first effective year (generally,
the short period required to make the change), and no later than the due date (including
extensions) for filing the tax return for the first effective year.

Sections 301.9100-1 through 301.9100-3 provide the standards that the Commissioner
will use to determine whether to grant an extension of time to make a regulatory
election. Section 301.9100-3(a) provides that requests for extensions of time for
regulatory elections (other than automatic extensions covered in section 301.9100-2)
will be granted when the taxpayer provides evidence (including affidavits) to establish
that the taxpayer acted reasonably and in good faith and the grant of relief will not
prejudice the interests of the Government.

Section 301.9100-3 sets forth standards that the Commissioner will employ in
determining whether to grant discretionary relief in situations that do not meet the
requirements of § 301.9100-2. The standards applied are whether the taxpayer acted
reasonably and in good faith in the matter, and whether the granting of relief will
prejudice the interests of the government. Generally, a taxpayer will be deemed to have
acted reasonably and in good faith if the taxpayer reasonably relied on a qualified tax
professional, and that professional failed to make, or advise the taxpayer to make, the
election at issue.

Section 301.9100-3(c)(1)(i) states that the interests of the Government are prejudiced if
granting relief will result in the affected Taxpayers, in the aggregate, having a lower tax
liability in the aggregate for all years to which the election applies than if the election
had been made on a timely basis. Section 301.9100-3(c)(1)(ii) provides that relief
ordinarily will not be granted if the tax year in which the regulatory election should have
been made, or any tax year that would have been affected by the election had it been
timely made, is closed by the statute of limitations on assessment before the Taxpayer's
receipt of the ruling granting 9100 relief.

Section 301.9100-3(c)(3) provides that the interests of the Government are deemed
prejudiced except in unusual and compelling circumstances if an election is an
accounting period regulatory election (other than the election to use other than the
required taxable year under section 444) and the request for relief is filed more than 90
days after the due date for filing the Form 1128.

Based on the facts and information submitted and the representations made, we
conclude that Taxpayer has acted reasonably and in good faith, and that the granting of
relief would not prejudice the interests of the government.

Accordingly, based solely on the facts and information submitted, and the
representations made in the ruling request, Taxpayer has satisfied the requirements for
the granting of relief. Consequently, the Form 1128 attached to Taxpayer's return for
Year 1, filed Date 4, is considered timely filed. Because a change of period under Rev.
Proc. 2006-45 is under the jurisdiction of the Director, Internal Revenue Service Cener,
where Taxpayer's returns are filed, we have forwarded the application to the Director,
Ogden, Utah Service Enter. Any further communication regarding this matter should be
directed to the Service Center.

Except for the specific ruling above, which is restricted to the filing of Form 1128, we
express or imply no opinion concerning the federal income tax consequences of the
facts of this case under any other provision of the Code or regulations that may be
applicable thereto. This letter ruling is based on facts and representations provided
by Taxpayer and its authorized representative, and is limited to the matters specifically
addressed. No opinion is expressed as to the tax treatment of the transactions
considered herein under the provisions of any other sections of the Code or regulations
which may be applicable thereto, or the tax treatment of any conditions not specifically
addressed herein.

This office has not verified any of the material submitted in support of the request for a
ruling. However, as part of an examination process, the Service may verify the factual
information, representations, and other data submitted.

This ruling is directed only to the taxpayer requesting it. Section 6110(k)(3) provides that
it may not be used or cited as precedent.

In accordance with the Power of Attorney on file with this office, a copy of this letter is
being sent to your authorized representatives.

A copy of this letter must be attached to any income tax return to which it is relevant.
Alternatively, taxpayers filing their returns electronically may satisfy this requirement by
attaching a statement to their return that provides the date and control number of the
letter ruling.



                                 Sincerely,



                                 Erika C. Reigle
                                 Acting Branch Chief, Branch 8
                                 Office of Associate Chief Counsel
                                 (Income Tax & Accounting)

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