How to file corporate taxes

Business owners can deduct certain expenses related to the cost of owning and operating a vehicle for business purposes. For the tax year, the mileage reimbursement rate is IRS Publication explains more about how to calculate and claim car expenses on your taxes.

Some self-employment accounting software, like QuickBooks Online Self-Employed , tracks mileage for you. Some mileage-tracking apps and software also compile IRS-friendly reports to make reimbursement practically painless.

Typically, if you rent an office space, you can deduct your rent payments. Similarly, if you have an in-home office, you can claim a deduction. However, the portion of your home you deduct must be used only for business purposes. If the room in your home serves any other purpose, you cannot claim it as a tax deduction. To calculate your home office deduction, you can use either the simplified method or regular method. Small-business owners can register their business as a sole proprietorship , partnership , C corporation , S corporation , or limited liability company LLC.

Each entity pays taxes differently and uses different forms to file. A sole proprietor is an exclusive, individual business owner. A partnership is a business with multiple owners. While you need to file Schedule K-1 alongside your individual tax return, Form should be filed on behalf of the partnership as a whole.

Small-business owners can structure their business as a corporation if they want corporate taxation rates. C corporations must file a corporate tax return using IRS Form S corporations will use Form S.

Just like partnerships, corporations are also responsible for filing quarterly employment taxes. Just like a corporation, an LLC is a separate and distinct legal entity from its owner or owners. An LLC taxed as a corporation uses Form to file taxes. A single-member LLC pays taxes as if it were a sole proprietorship, meaning you use Schedule C to account for your tax payment and attach it to Form This includes freelancers and many other sole proprietors.

Usually, April 15 is both the date your estimated taxes for the previous quarter are due and the day your annual tax-filing paperwork is due. However, the IRS has moved the individual tax-filing deadline for the tax year to May Most small-business owners—including members of partnerships, S corporations, and C corporations—will file annual taxes. The exact due date depends on the type of business you own:.

If you want extra guidance on when your taxes are due, we recommend consulting with an accountant. If your C corporation ends its fiscal year on a date other than December 31, business taxes are due four months after the end of your fiscal year. You need to file your taxes with the federal government on or before the dates listed above. If your business has a full- or part-time accountant, they can file business taxes for you. As for actually paying your taxes——not just filing the paperwork——your accountant or tax software can submit your payment.

Tax season is undeniably stressful. Good luck! Are you filing taxes as an independent contractor? Read our contractor-specific tax-filing guide.

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For more information, please see our Privacy Policy Page. We may earn money when you click on our links. Learn More. On this page: Gather your financial records Accounting records Calculate your tax deductions Forms needed File on time The takeaway Back to top.

How to File Small-Business Taxes in All businesses except partnerships must file an annual income tax return. Partnerships file an information return. The form you use depends on how your business is organized. Refer to Business Structures to find out which returns you must file based on the business entity established.

The federal income tax is a pay-as-you-go tax. You must pay the tax as you earn or receive income during the year. An employee usually has income tax withheld from his or her pay. If you do not pay your tax through withholding, or do not pay enough tax that way, you might have to pay estimated tax. If you are not required to make estimated tax payments, you may pay any tax due when you file your return. For additional information refer to Publication Generally, you must pay taxes on income, including self-employment tax discussed next , by making regular payments of estimated tax during the year.

For additional information, refer to Estimated Taxes. Self-employment tax SE tax is a social security and Medicare tax primarily for individuals who work for themselves. Your payments of SE tax contribute to your coverage under the social security system. Filing Past Due Tax Returns Before you decide not to file your tax return on time or not pay all of your taxes when they are due, consider this.

Reporting Payments to Independent Contractors If you pay independent contractors, you may have to file Form MISC, Miscellaneous Income, to report payments for services performed for your trade or business.

More In File. Filing Electronic Filing Options for Business and Self-Employed Taxpayers There are electronic filing options available for many of the taxes and forms that small businesses are required to file, such as excise and employment taxes, Forms , , and various information returns. Self-Employed Individuals Tax Center.