Yes, the tax term is upon with the main filing date for some businesses starting March 15, 2005. If you can’t envision getting your tax returns collected by that date, you need not fear. The IRS automatically gives you a delay if your file the proper form. As you might suppose, there are different forms for different industries.
An Important Note
It is really important that you know that an delay to file taxes is not a delay to PAY taxes. The IRS will offer you a break on the filing date, but it needs the money now! If you expect that you will owe taxes, you need to send in the proper payment. Failure to do so could effect in interest charges when you finally get around to filing your returns.
If you conduct business as a company with a financial year-end of December 31st, you need to file your 2004 tax revenues on or before March 15, 2005. You can get an automatic delay, however, by filing form 7004 before the March 15 limit. Form 7004 applies both to “C” and “S” businesses and grants you an automatic 6-month delay to September 15, 2005.
While this automatic delay applies to “S” corporations, you should be alert of a quirk in the tax code. Since “S” corporations “pass through” taxes to your private returns, the six-month delay is really only a five-month delay. To file your private tax returns, you must report info from the K-1 issued from the “S” corporation. Unfortunately, the IRS only grants automatic delays for filing private tax returns to August 15, 2005.
Limited Charge Company
The IRS has never really figured out to how to control limited liability companies. It has stable on a policy of avoiding the problem and simply giving the entity as a corporation or partnership.
Limited liability companies with more than one owner naturally elect to be treated as partnerships for tax purposes. If this describes your condition, the LLC need to file tax returns by April 15, 2005. You can get a 3-month delay by filing form 8736.
If you are the only owner of an LLC, you may be in for a surprise. The IRS doesn’t know LLCs owned by one person. Instead, it simply considers you a only proprietor and the rules for only proprietorships apply. These are mentioned below.
If your business is a partnership, you need to file tax returns by April 15, 2005. You can use form 8736 to get a 3-month delay.
If you are not using a business object, your business tax info should be reported on your private tax return. The due date for filing your private tax returns is April 15, 2005. You can get a four-month delay by filing form 4868.