Each calendar year is filled with tax deadlines. Who knew? The IRS prefers that tax returns are timely filed (and they encourage this process by imposing penalties for many types of untimely filed returns). What are the tax deadlines, to whom do they apply, and how do extensions work? When is the tax due?
For individuals, form 1040 is due by April 15 each year. If you are not able to complete and file the return by that date, an extension should be filed. IMPORTANT – an extension of time to file is NOT an extension of time to pay. As April 15 approaches and you realize you cannot finish the return, you still must make effort to determine your potential tax balance due and submit that amount with your extension form. The extension gives an extra 6 months to file the return. (October 15 is the extended due date) After that date, the return is officially LATE and a penalty may be imposed.
For businesses that file as corporations (form 1120 and form 1120S) returns are due by March 15 each year. (Fiscal year filers have a deadline that is the 15th day of the third month following the close of the taxable year) Business returns are often complicated and require completion of the prior year’s financial statements. Plan ahead and get your tax materials submitted in plenty of time to allow for your business returns to be completed timely. 1120S should be prepared to submit K-1 forms to their members by March 15 to allow each member to properly claim their share of income/expenses/pass through items on their individual return. If you cannot complete the corporate return by March 15, an extension should be filed. 1120 filers and certain 1120S filers must pay in any tax due with the extension. Extensions are good for 6 months making the extended due date September 15 for most filers. After that date, the return is officially LATE. The IRS has been especially aggressive in imposing and enforcing penalties for late filing of 1120S. Don’t let the business deadlines take you by surprise!
What about the deadlines doe other types of returns? For 1065 (partnership) and 1041 (trust and estate) filers, the deadline is April 15 (fiscal year filers due the 15th day of the fourth month following the close of the taxable year). Extensions can be filed and are good for 6 months. Tax, if any due, must be paid with the extension.
For not-for-profit (990) filers, the deadline is May 15 (or the 15th day of the fifth month following the close of the fiscal year). 990 extensions differ from all others in that there are 2 extensions, each good for 3 months. Make sure you don’t miss the extended deadline or forget to file the second extension if the return is not complete by the first three-month extension period.
The filing date of a return, extension or payment submission is the postmark when paper filing or mailing a check (if filing close to the deadline, certified return receipt is suggested). For e-file, it is the date of e-file confirmation.
It is easy to be confused by all the deadlines. We can help sort them out for you. Please call (727-381-6001) to schedule a phone conference or appointment to sort out which deadlines apply to you, your business entities, or organizations which you serve and support.
*blog is not intended to be specific legal advice or to create an attorney/client relationship between Chechele Law and the reader.