THE LAW ACCORDING TO MOSES
Filing Business Tax Returns
By Ambrose Moses, III
Business owners are required to file federal tax returns each year to report the gains and/or losses from their business for the tax year. Filing business tax returns is an essential part of owning and operating a small business. If you stay current on your business taxes, you can avoid unnecessary stress as well as expensive late-payment penalties. Your business tax returns will be based on your business bookkeeping, so make sure your records are complete and current before attempting to fill out your tax forms. Once you establish a rhythm of filing and paying your business taxes, you will be able to anticipate your tax liabilities and effectively plan your tax payments.
IRS Publication 334 – Tax Guide for Small Businesses or http://1.usa.gov/9cQUJl
IRS Publication 535 – Business Expenses or http://1.usa.gov/g6WOZh
For tax purposes, your business will be classified and treated as either—
- Sole Proprietorship
Limited liability company (LLC) is not a taxpayer classification. The LLC will be treated as one of the three recognized business taxpayer classifications.
Business Tax Returns Due Dates — (Assuming December 31st as end of tax year)
- Sole Proprietorship – April 15th – Schedule C or C-EZ
- Single Member LLC – April 15th – Schedule C or C-EZ
- Partnership – April 15th – Form 1065
- Multi-Member LLC – April 15th – Form 1065
- Corporation – March 15th – Form 1120
- S-Corporation – March 15th – Form 1120S
Business Expense Deductions
The Internal Revenue Service offers tax deductions that may result in a much larger tax refund. However, people often are not aware of all the deductions they may take; they therefore miss out on savings and essentially give Uncle Sam free money when it isn’t necessary. See your tax advisor and lawyer for professional advice.
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Ambrose Moses, III is an attorney with Moses Law Office. Email: info@MosesLaw.pro. Telephone: (614) 418-7898.