Does Nebraska recognize the federal S-corporation election?

Yes. Nebraska follows the federal S election, and no separate state election form is required — filing federal Form 2553 with the IRS is enough. The corporation does still file Nebraska S Corporation Income Tax Return (Form 1120-SN).

Which Nebraska return does an S corporation file?

Nebraska S Corporation Income Tax Return (Form 1120-SN).

S-corp election · NE

Nebraska S-Corporation Election

By Edmond Hui · Facts verified July 29, 2026 against primary state sources

Edmond Hui · Founder, MyStateLLC

Edmond Hui is a software engineer and serial entrepreneur based in New York who has founded multiple online businesses across e-commerce, media, and information publishing. Before transitioning into tech, he spent years as a commercial real estate professional closing deals totaling over 100,000 square feet, giving him firsthand experience with business formation and entity structuring. He built MyStateLLC to provide the free, state-specific LLC guidance he wished existed when forming his own companies.

Nebraska follows the federal S election. Filing IRS Form 2553 is enough — there is no separate Nebraska election form. Nebraska is one of 43 states that follow the federal election with no state form of their own.

State treatmentFollows the federal election

Separate state formNot required

State corporate income taxYes

Does Nebraska recognize the federal S election?

State treatment of the S election

Follows the federal election	Yes
Separate state election form	None required
State return	Nebraska S Corporation Income Tax Return (Form 1120-SN)

No separate state election to file: the federal election on IRS Form 2553 carries over. That is the election only — the corporation still files Nebraska S Corporation Income Tax Return. Of the 50 states, 43 follow the federal election with no state form of their own, and 1 more — New York — recognizes S status but requires an election of its own as well.

What an S corporation still owes Nebraska

S corporations are pass-through; income is allocated to shareholders on Nebraska Schedule K-1N. Nebraska offers an optional pass-through entity tax (PTET) election. No mandatory entity-level income tax.

Franchise or gross-receipts tax

No corporate income-tax minimum, but domestic corporations owe a biennial occupation tax based on paid-up capital stock (minimum $26, up to $23,990 over $100M), filed with the biennial report — this functions as Nebraska's franchise-type tax.

Nebraska corporation vs Nebraska LLC

State filing charges only. Corporate income tax and franchise tax are excluded because both depend on income or net worth, so no flat figure exists for either entity.

	Corporation	LLC
Formation filing fee	$100	$100
Report cadence	Every two years	Every two years
Report fee	$26	$25

Both entities cost $100 to file in Nebraska, so the filing fee is not a reason to pick one over the other.

Full Nebraska LLC cost breakdown · LLC vs C-corp explained · LLC vs S-corp explained

How Nebraska compares

State treatment of the federal S election	States
Follows the federal election, no state form needed	43
No corporate income tax, so no state election exists	4
Has a corporate income tax and does not follow the election — the corporation is taxed like a C corporation	2
Follow the election but still impose some entity-level tax on the S corporation — California, Illinois, New York, Massachusetts and Delaware among them	—
Require a separate state election form as well	1

Compare all 50 states · LLC vs S-corp · S-corp salary and savings calculator

Frequently Asked Questions

: Yes. Nebraska follows the federal S election, and no separate state election form is required — filing federal Form 2553 with the IRS is enough. The corporation does still file Nebraska S Corporation Income Tax Return (Form 1120-SN).
: S corporations are pass-through; income is allocated to shareholders on Nebraska Schedule K-1N. Nebraska offers an optional pass-through entity tax (PTET) election. No mandatory entity-level income tax.
: Nebraska S Corporation Income Tax Return (Form 1120-SN).

Where these numbers come from

This page covers how Nebraska treats the federal S-corporation election and what an S corporation still owes the state. Every figure was checked against Nebraska's own published sources on July 29, 2026— the state business filing agency's fee schedule, the governing statute, and where a state tax applies, the state Department of Revenue. Commercial formation-service pages were used as leads only and are never cited. Anything the review could not confirm from an official source is left blank on this page rather than filled with an estimate.

Corporate income tax and franchise tax are quoted as the state publishes them, as rate schedules and thresholds, and are excluded from every dollar total here. They depend on income or net worth, so there is no flat figure that would be true for every corporation.

Primary sources: