As a small business you know that your taxes do not begin and end with tax season. If you are self-employed or own your own business your tax responsibilities do not end with filing your income tax return by April 15. There are several other tax deadlines you must pay attention to. You have to think about estimated taxes, self-employed taxes, state and local taxes, sales and use tax, and other tax compliance issues. It’s a lot to keep track, and staying organized can help you better strategize your tax year. Here we have created a list of important tax deadlines to keep track of.
The first quarter tends to have the most deadlines since Federal and States tax administrators place prior year deadlines following year end. Generally, we advise clients to manage deadlines for bookkeeping, estimated taxes, and planning throughout the year to cut down on year-end work that must be performed in Q1 including: 1099 issuance, last estimated tax payments, and corporate and partnership filings.
- January 1st – Happy New Year
- January 15th – Last Day to Pay 2019 Estimated Taxes (for Q4)
- January 15th – Last Day to Dissolve CA Entity to Avoid Franchise Tax Fee
- Mid January – W2’s and 1099’s start coming in
- January 21st – Window opens to electronically file tax returns
- January 31st – Deadline to file (and mail) 1099’s
- February 14th – Happy Valentines Day (Early Bird Special Deadline for Tax Clients)
- February 18th – Deadline for Brokerages / Banks to Send 1099-DIV, 1099-INT, and 1099-B forms
- March 1st – Deadline to file Delaware Annual Report for your Corporation in Delaware
- March 16th – Deadline for Partnerships and S-Corporations to File Tax Return or Extension (to September 15th)
The second quarter is the first wave of filings. The majority of Americans file by April 15th, however, as tax situations become more complex taxpayers usually use the extension time to allow additional information to come (for example K-1’s that may come as late as September 15th). If you work with a trusted advisor on your tax return, let them know early on that you plan on extending your deadline. For those filing by April 15th, the second quarter is also a good time to look at year-to-date progress and financials for the current year so that any tax strategies employed (or missed) can be deployed again. If you owe taxes, it is likely that you will also have an estimated tax payment due on April 15th (2 payments), so don’t wait until April to get a sense of your 2019 tax bill, as it may come with a partial 2020 tax bill.
- April 15th – Deadline for Individuals to File Tax Return or Extension (to October 15th)
- April 15th – Deadline for C-Corporations to File Tax Return or Extension (to October 15th)
- April 15th – Deadline to file Foreign Bank Accounts Reports aka “FBAR” or Extension (to October 15th)
- April 15th – Deadline to Pay 1st Estimated Tax Payment for 2020
- April 15th – Deadline to fund IRA’s or ROTH IRA’s, Health Savings Accounts, SEP IRA’s* and Solo 401(k)’s*.
- April 15th – Deadline for Estate Income Tax Returns (Form 1041) or Extension (to September 15th)
No Formal Federal Tax Deadlines – This is a good time to ask your tax advisor for planning, bookking, and consulting (if they aren’t on holiday).
- June 1st – Deadline to file your annual Franchise Tax fees in Delaware.
- June 15th – Second quarter estimated tax payments are due for 2020 year
- June 15th – Estimated Fee for California LLCs due
The third quarter can be incredibly busy for business owners or limited partners in pass through businesses as they need to file their business returns and personal returns within a month of each other. For those who’ve already filed their tax returns, the third quarter is time to make tax planning adjustments to lower or manage tax liability while there is still time to enact purchases, tax-loss harvesting, reimbursements or retirement plan funding.
- September 15th – Third quarter estimated tax payments are due for 2020 year (fourth quarter payments will be made in the following year)
- September 15th – Final deadline to file Partnership or S-Corporation tax returns for the year 2019 if an extension was requested
The last quarter should include a comprehensive plan to finalize all accounting and tax strategy so that any issues identified in the prior year’s filing can be optimized for the following year. It also includes the final deadline for filing 2019 taxes. Year end is best saved for making changes before the financial “ink” dries on the year in order to meet your financial goals.
- October 15th – Final day to file individual tax returns
- October 15th – Final day to file C-Corporation tax returns
- October 15th – Final deadline to fund a SEP IRA or Solo 401(k) for tax year 2019 if you requested an individual extension.
It is important to keep track of important tax deadlines. Failure to meet certain deadlines can result in interest payments and late fees to the IRS. To receive customized tax planning strategies throughout the year, subscribe to our tax hacking newsletter here.