NOTE: This article is for information purposes only and is not actionable tax advice. Please consult your tax professional.
Few people can say that they went into business so that they could do more reporting to the IRS; however, as your business grows, so does your interaction with the Tax Man. If you are a Sole Proprietor and have no employees or 1099 consultants, then your taxes may not be so difficult – especially if you are just starting out and haven’t made any money yet. Even so, it is still a good idea to consult with a CPA or professional tax preparer to make sure that you are doing things properly, and that you continue to do so.
That BIG Tax Day is fast approaching, but April 15 isn’t the only date small business owners need to be aware of. Here are some of the most critical small business tax deadlines to keep in mind:
If you are an employer:
- Your annual Federal Unemployment Tax Return is due.
- W2, Wage and Tax statements are due. Additionally, employee copies are due to the employee.
- If you paid an independent contractor more than $600 in the previous calendar year, that person’s copy of their 1099 is due.
- If you are filing paper copies, your 1099s are due to the IRS.
- A 1099 is an Information Return and there are many types, professional help is a good idea.
- Paper W2s are due to the Social Security Administration (SSA).
- Electronic filings of 1099s are due to the IRS.
- The IRS has multiple publications explaining filing information returns electronically. Publication 1220 covers 1099s.
- Electronic W2s are due to the SSA.
April 30th, July 31st, October 31st & January 31st
If you are withholding income, social security, or Medicare taxes, your quarterly returns are due on these dates.
The federal government would rather business owners pay their taxes on time; therefore, they make due dates and forms readily available on their website. There is even a section specifically for Small Businesses and the Self-Employed.
Income taxes vary from state to state and an attempt to summarize them here would be far from adequate; consult your tax professional.