Tax Extension Center continues its daily series of The Top 100 Reasons to File a Tax Extension. Our goal is to educate taxpayers that filing a tax extension can be a valuable tax season option for you or your business because it saves time, stress, and even money.
Here’s reason #70: you’re waiting for a K-1 for your business tax return.
For those of you who have never heard of a K-1 (also know as Schedule K-1) here’s a little background info: each year shareholders of s-corporations or partnerships (like an LLC) get a K-1 distributed to them by the company. The K-1 basically states the shareholder’s share of the company’s net income loss or gain. Think of it as a shareholder’s W-2. And like a W-2, shareholders need this form to accurately file his individual income tax.
Tax Extension Center continues its daily series dedicated to The Top 100 Reasons to File a Tax Extension. Our aim is to inform taxpayers that a tax extension can be a valuable tax season option because it saves time, stress, and even money.
Here’s reason #68: you started a business this year and have no idea where to begin with business taxes.
All new business owners have been there. The slap-in-the face reality gives you when you’re about to file your income taxes for the first time as a business. Damn the learning curve!
Tax Extension Center continues its daily series dedicated to The Top 100 Reasons to File a Tax Extension. Our aim is to inform taxpayers that a tax extension can be a valuable tax season option because it saves time, stress, and even money.
Here’s reason #67: almost half of all businesses file for a tax extension, so why shouldn’t I?
The simple reality for a lot of business owners is one of the following:
Bottom line: there’s just not enough time in the beginning of the year to do everything a business owner needs to do. And as a result things (most likely taxes) get pushed to the side in favor of more pressing matters like trying to be profitable. That’s why filing a business tax extension is such an overwhelmingly popular option.
Are you considering filing a tax extension for the first time? Or maybe you file one every single year like clockwork. Either way, remember that a tax extension does not give you more time to pay what you owe the IRS. You still need to make your payment by midnight on April 15 (or March 15 for the corporate tax deadline). An IRS extension gives you more time to file the necessary tax forms you’re supposed to file. Failing to make your payment on time could make you subject to tax extension penalties and interest.
Let’s chat more in the comment section below.
Tax Extension Center continues its daily series dedicated to The Top 100 Reasons to File a Tax Extension. Our aim is to inform taxpayers that a tax extension can be a valuable tax season option because it saves time, stress, and even money.
Here’s reason #66: you started a new business and didn’t realize you are missing a lot of documents you need to file.
In an economic downturn like the one we’re experiencing in the US, there’s an uptick in new businesses being created. Due to the lack of jobs, many ex-corporate employees have decided to take matters into their own hands and create their own company.
As a result of this trend, this year there are more people than usual filing business income taxes for the very first time. First-timers experience the learning curve of figuring out what documents are required, exactly what forms have to be filed, etc. That can be a pain, especially when you’re trying to spend your time growing your business.
While trying to climb the learning curve, a business tax extension can be a solid option for first-time business tax filers. Depending on your business type, you can get an extra 5 or 6 months to file that initial tax return. Getting the extra time is a better option than filing late because you’ll avoid late filing penalties.
Are you considering filing a tax extension for the first time? Or maybe you file one every single year like clockwork. Either way, remember that a tax extension does not give you more time to pay what you owe the IRS. You still need to make your payment by midnight on April 15 (or March 15 for the corporate tax deadline). An IRS extension gives you more time to file the necessary tax forms you’re supposed to file. Failing to make your payment on time could make you subject to tax extension penalties and interest.
Let’s chat more in the comment section below.
Tax Extension Center continues its daily series dedicated to The Top 100 Reasons to File a Tax Extension. Our aim is to inform taxpayers that a tax extension can be a valuable tax season option because it saves time, stress, and even money.
Here’s reason #64: just because your business didn’t make any money last year doesn’t mean you get a free pass to file taxes on time.
Unfortunately, the tax deadline for businesses is not variable. It’s etched in stone. Whether your business was profitable or if it lost money last year, it’s still responsible for filing taxes on time. The only way a businesses tax deadline can changed is by filing a tax extension.
A business tax extension changes the tax deadline from March 15 to September 15 for corporations and April 15 to October 15 for most other business types.
Failure to file taxes on time can result in late filing penalties. Those penalties are wiped out as long as your business at least filed an extension.
Are you considering filing a tax extension for the first time? Or maybe you file one every single year like clockwork. Either way, remember that a tax extension does not give you more time to pay what you owe the IRS. You still need to make your payment by midnight on April 15 (or March 15 for the corporate tax deadline). An IRS extension gives you more time to file the necessary tax forms you’re supposed to file. Failing to make your payment on time could make you subject to tax extension penalties and interest.
Let’s chat more in the comment section below.
Tax Extension Center continues its daily series dedicated to The Top 100 Reasons to File a Tax Extension. Our aim is to inform taxpayers that a tax extension can be a valuable tax season option because it saves time, stress, and even money.
Here’s reason #62: my business partners and I just can’t find a time to meet.
It’s challenging for a business to find a convenient time to get all of the decision makers together at one table. Everyone is off doing their job trying to make the business better, more profitable. When the agenda for a meeting includes discussing tax implications, it’s even harder to avoid the scenario in the picture – one person sitting alone twiddling his thumbs.
This is especially true in small entrepreneurial ventures where partners might have other jobs or more than one venture that demands their time.There just never seems to be a good time to get together and talk taxes.
For this reason, some businesses choose to file a business tax extension so that they can meet and make decisions together about the company’s finances and their tax situation. An extension is a great option because it gives companies more time to work around everyone’s busy schedule and finally have that meeting everyone is dreading.
Are you considering filing a tax extension for the first time? Or maybe you file one every single year like clockwork. Either way, remember that a tax extension does not give you more time to pay what you owe the IRS. You still need to make your payment by midnight on April 15 (or March 15 for the corporate tax deadline). An IRS extension gives you more time to file the necessary tax forms you’re supposed to file. Failing to make your payment on time could make you subject to tax extension penalties and interest.
Let’s chat more in the comment section below.
Tax Extension Center continues its series of The Top 100 Reasons to File a Tax Extension. Our aim is to inform taxpayers that a tax extension can be a valuable option because it saves time, stress, and even money.
Here’s reason #45: the late filing penalties for partnerships is expensive!
If your business is a partnership, then you should consider filing a business tax extension if there’s any chance you won’t be able to file a tax return by April 15. If you don’t, then your company is subject to some serious late filing penalties.
Last week we told you that snow is a perfectly good reason to file a tax extension. Looks like the folks at the West Virginia State Tax Commissioner’s Office agree.
West Virginia Governor Joe Manchin and State Tax Commissioner Christopher Morris announced yesterday that West Virginia businesses located in counties that were affected by weather conditions are encouraged to contact the Tax Commissioner’s office for assistance.
“We understand the challenges business owners are facing,” Manchin said, “And are willing to work with those affected by the weather conditions so they may avoid penalties and fees for late tax filings.”
Businesses that were not affected by recent snowstorms must still abide by designated due dates.
The Tax Commissioner’s office may be reached at (304) 558-0751.
