What does the month of March mean to you? For some, it’s St. Patrick’s Day or spring break. But if you’re a small business owner, you’ll need to know the following 2020 March tax deadlines. And April? Don’t be “fooled.” It’s all about meeting your IRS obligations, filing for an extension, or setting up an installment plan.
If you’re applying for a small business loan, it’s particularly important to hit all of those deadlines or show proof that you filed an extension.
Below are the dates you need to know and the forms* that are typically requested when applying for a small business loan.
This is the date for Partnerships/LLCs to file business tax returns. If your LLC is taxed like a partnership, then file Form 1065. If taxed like a corporation, file Form 1120.
Use this form to report the income, gains, losses, deductions, credits, etc., of a domestic corporation or other entity for any tax year covered by an election to be an S corporation.
Partnerships file an information return to report their income, gains, losses, deductions, credits, etc. A partnership does not pay tax on its income but “passes through” any profits or losses to its partners. Partners must include partnership items on their tax or information returns.
If necessary, you can apply for a six-month extension, but the extension is for the filing, not the payment, of taxes. Interest will apply to any overdue taxes.
April 15 is not just the deadline for individuals and first quarter estimated taxes. This is also the deadline for corporations who will use Form 1120. Certain corporations are also eligible to receive a six-month tax extension from this deadline.
Form 1040 is used by U.S. taxpayers to file an annual income tax return.
Domestic corporations use this form to report their income, gains, losses, deductions, credits and figure their income tax liability.
A U.S. citizen or resident files this form to request an automatic extension of time to file a U.S. individual income tax return.
Tax year 2020 second-quarter estimated tax payments are due.
Partnerships to file Form 8813 quarterly payment voucher and pay any tax due.
Third quarter estimated taxes are due on this date, as are tax returns for anyone who received the six-month extension.
Any corporations that received a six-month extension from April 15 will have their tax returns come due on this date.
Use Form 9465 to request a monthly installment plan if you cannot pay the full amount you owe shown on your tax return (or on a notice sent to you by the IRS).
If you have employees, there are employer taxes to file and deadlines to meet. There are also tax-related items you must send out to individuals and organizations that you paid money to in the last year. Additionally, you also must file forms to the IRS about these payments.
Here are some of the key employer taxes you need to be aware of:
All of these employer taxes have tax forms to submit. Find more information and links on the IRS website here: Employment Tax Forms.
The SmartBiz Loans® team has compiled tax tips for when you apply for a small business loan from a bank in the SmartBiz® network. If you have questions about taxes and your application, please reach out to your SmartBiz Relationship Manager.
Should you go solo or work with a professional to file your taxes? There are many factors to consider including the complexity of your tax situation, the time required to gather documents and the cost. Read this article from the SmartBiz Small Business Blog for more information and insight from real small business owners: Small Business Taxes: Self-File or Use a Professional?
Whether you choose to self-file or hire a professional, the H&R Block blog has a list of the information you’ll need to prepare your taxes: