Staying on top of tax deadlines is an important step in compliance for every startup.
When a business owes taxes, or is responsible for other tax-related actions like distributing 1099’s, the process is often more frequent and complex than the once-per-year drudgery that most individuals undergo. Instead, businesses might deal with tax-related duties several times per year.
Continue reading as we outline the major tax deadlines for start-up companies for the fiscal year.
Deadlines (and Details)
January 16, 2023 – 4th Quarter 2022 estimated tax payment due. If you’re self-employed or have other income without any tax withholding, and you need to make quarterly estimated tax payments, this is the due date for your final quarterly payment for the 2022 tax year.
January 31—businesses should send important tax documents to workers. Examples include:
- 1099’s for independent contractors
- W-2s for registered part or full-time employees
- 1099-NEC for non-employee compensation. This is also the submission due date to the IRS.
- 1095-B or 1095-C related to health coverage
- If applicable, claim the Research and Development Tax Credit on Prior Year Q4 Form 941, and file an annual return on Form 940.
February 28—the aforementioned 1099 and W-2 forms should be sent to the IRS by this date, if sending hard copies via mail
In addition, IRS ACA Compliance 1094-B, 1095-B, 1094-C, and 1095-C should be sent to the IRS by this date, if sending hard copies via mail
For a 30-day extension, file Form 8809.
March 31- most 1099s (except 1099-NEC), W-2s, and Forms 1094-B, 1095-B, 1094-C and 1095-C are due to the IRS if filing electronically
March 1—those who conduct business in the state of Delaware should submit the Annual Franchise Report by this date. If timely payment is not made, a penalty fee of $200 will apply.
March 15- Partnerships (Form 1065) and S-corporations (Form 1120-S) tax return due date. Business owners may ask for an extension by submitting Form 7004.
April 18—this is the most important tax date for the 2023 calendar year.
- Federal and state tax returns, or extensions of time to file, are due by this date for C-Corporations and Individuals.
- The 1st installment of the Federal Quarterly Estimated Tax is due
- If applicable, this is also the date by which to file Form 6765 for R&D Tax Credit. This is a quarterly process. Business owners may ask for an extension by submitting form 7004.
April 29—claim any R&D tax credits on Q1 Form 941.
June 15—the 2nd installment of the Federal Quarterly Estimated Tax should be submitted to the IRS.
July 29—claim any R&D tax credits on Q2 Form 941.
September 15— Due date for extended Partnership and S-Corporation tax returns.
The 3rd installment of the Federal Quarterly Estimated Tax is due.
October 16— Due date for extended C-Corporation and Individual Tax Return
October 31—claim R&D tax credits on Q3 Form 941.
January 15, 2024—submit 4th installment of Federal Quarterly Estimated Tax for the 2023 tax year
Summary
It is extremely important for businesses to make timely IRS payments. If tax deadlines are missed, businesses risk non-compliance, regulatory issues, penalties and interest.
To sum things up, be sure to make note of the following deadlines to ensure a smooth tax year:
- Send the necessary tax documents to employees and contractors by the January 31 deadline, and 1099-NEC to the IRS
- March 31 deadline for all other 1099s and W-2s to file electronically with the IRS
- Submit extensions, or federal and state tax returns, for Partnerships and S-Corporations by March 15
- Submit extensions, or federal and state tax returns, for C-Corporations and Individuals by April 18
- File for R&D Tax Credits on April 15, April 29, July 29, and October 31
Contact us to learn more about managing your business’s taxes and planning for success.
