What are the most important tax deadlines?
For most people, the most important deadline is the April 15 tax-filing deadline. Individual filers and many business filers are required to file their returns and pay any owed taxes by this date. There are several key deadlines that apply to most self-employed individuals and small business owners.
- Mid-January. This is the due date for fourth-quarter estimated income tax payments for the previous year. In general, sole proprietors, LLC members, partnerships, and S-corporation shareholders are required to make estimated tax payments if they expect to owe taxes of at least $1,000 for the year. Corporations that expect to owe at least $500 in taxes are also required to make estimated payments.
- Late January. Individual tax return filers can begin submitting their prior-year tax returns through either paper returns or by using electronic filing tools and services. This includes sole proprietors and small business owners of pass-through entities such as single-member LLCs.
- January 31. For businesses with employees, this is the deadline for providing workers with their W-2 Forms and filing them with the IRS. January 31 is also the deadline for many 1099 forms, including Form 1099-NEC, Form 1099-MISC, and Form 1099-K.
- Mid-March. S-corporations, partnerships, and multi-member LLCs taxed as partnerships are required to file their tax returns (assuming a December 31 fiscal year end). Businesses that would benefit from additional time to file their returns can request an extension of time to file using IRS Form 7004, so long as it's submitted by the filing due date.
- April 15. First-quarter estimated income tax payments are due on this date.
- April 15. This is the tax-filing deadline for individual filers, C-corporations, single-member LLCs, and LLCs taxed as corporations. Some states extend their deadlines slightly due to local holidays. Form 4868 can be used to request an extension of time to file an accurate tax return. Note that applying for an automatic extension of time to file a tax return does not change the due date for taxes owed, so pay your tax bill by this date (estimating as closely as possible if exact figures cannot be determined). Doing so can help you avoid unnecessary penalties and interest.
- Mid-June. Second-quarter estimated income tax payments are due on this date.
- Mid-September. Third-quarter estimated income tax payments are due on this date.
- Mid-October. If a Form 4868 was submitted to request an extension of time to file a tax return, this is the due date to file your completed return and submit all appropriate schedules to the IRS.
What happens if a business misses a tax deadline?
If you miss a tax filing deadline for your small business, don't panic. However, it is important to take action as quickly as possible after you realize the error. Ultimately, your state's Department of Revenue and the federal Internal Revenue Service determine and apply penalties for missed deadlines and late filings.
Generally, if you missed a deadline but were owed a refund, you are not subject to additional late-filing penalties or interest. But if you do owe money, filing your return promptly after the missed deadline and paying the amount owed in full can help you limit additional penalties. If you did not calculate withholdings or estimated tax payments properly, or failed to make estimated tax payments when due, expect to pay interest on the amount owed if you miss the deadline.
Prompt action and a proactive plan for future tax filings can mitigate any losses associated with the missed deadline.
When do businesses need to file an annual report?
In addition to tax filing obligations, many businesses must file reports and information returns with the state(s) in which they operate. These are commonly known as annual reports, and they are generally required for corporations and LLCs. Additionally, under the Corporate Transparency Act, some small businesses may be required to file a Beneficial Ownership Information (BOI) Report with the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN).
These reports are intended to ensure that incorporated and organized businesses make public disclosures about operational and financial activities, providing transparency both for the state government as well as for potential or current investors and other stakeholders in the business.
While annual reports are due every 12 months, the each state's specific due dates vary from state to state and may be different depending on the type of business. Similarly, the information business owners are required to report may differ. Check your state’s business filing office or Department of Revenue website to understand and meet your filing requirements, wherever your business operates. Rocket Lawyer can also help you understand and meet your filing requirements, wherever your business operates across a variety of business legal services providers.
How can a business avoid missing a federal or state income tax filing deadline?
No business owner wants to miss federal or state income tax filing deadlines. However, it is not always easy to stay on top of those filing due dates while trying to manage day-to-day operations, finances, and everything else that goes into running a business.
There are several best practices you can implement to make sure your company's legal health remains strong.
- Use a calendar. First, if you have not already done so, start by adding all of your tax filing deadlines to a digital calendar and setting up alerts that provide enough time to meet those deadlines, which can range from a week to a month or more, depending on your situation. It is common to set more than one alert ahead of the deadline.
- Organize your tax records. Keeping detailed tax information records, including returns, schedules, and tax statements, and keeping your records organized and in a recognizable file format can go a long way in making tax compliance easier. If you are still filing paper tax returns, consider switching to e-filing, which can streamline the process. In addition to e-filing tax returns, businesses can electronically file Forms W-2 to report employee wages and earnings.
- Keep copies of your taxes. Whether you use paper or electronic means to transmit returns and forms, it is best to keep copies of paper forms in case questions arise in the future. When you e-file your tax forms, you gain greater transparency into when the IRS and state tax authorities have received your returns as well as when the forms have been accepted.
- Pay what you can if you can't pay the full amount owed by the deadline. In some cases, small business owners put off tax filings when they find themselves unable to pay the full amount owed. Filing your returns on time and paying what you are able to pay at that time can lower the amount subject to penalties and interest. From there, you may be able to work out a favorable repayment plan for any remaining tax liability.
Are there extensions for filing tax documents and annual reports?
Extensions are not available for all tax filings. While you can request an extension for filing your federal income tax return, you cannot request one for filing Forms W-2 or 1099. Also, keep in mind that the extension is merely an extension of time to file the return and does not provide an extension of time to pay your taxes.
If your business is an S-corporation, a multi-member LLC taxed as a corporation, or a partnership, your tax return is typically due by March 15. You may request an automatic extension of time to file the return using IRS Form 7004. For individual taxpayers and other types of businesses, the tax return deadline is April 15. If you want to request an extension, submit IRS Form 4868 by this same deadline. Keep in mind that when one of these due dates falls on a weekend or holiday, it is moved to the next business day.
The automatic extensions of time to file are generally good for six months, so the latest tax return filing with an extension would be October 15. Remember to pay the full amount of tax owed by the original tax return filing date to avoid penalties and interest.
Annual reports and state business filings vary by state, so check your state’s business filing office or department of revenue for exact requirements and deadlines.
If you have more questions about federal and state tax requirements for your self-employment or your small business, reach out to a ask a Legal Pro for affordable legal help.
Please note: This page offers general legal information, not but not legal advice tailored for your specific legal situation. Rocket Lawyer Incorporated isn't a law firm or a substitute for one. For further information on this topic, you can Ask a Legal Pro.
