Small Business Guide, Resources, Tax Forms, Schedules
As a small business owner, navigating the complexities of tax filing can feel overwhelming. You need to manage various tax forms with different deadlines and schedules, all while avoiding mistakes that could lead to penalties and ensuring you take advantage of all available deductions. Whether you're looking for advice on filing or tools to simplify the process, we're here to guide you. This concise overview highlights 25 essential tax forms for small businesses. By understanding each form and its due dates, you'll be better equipped to manage your tax obligations.
Form 720
Businesses that owe federal excise taxes must file Form 720 quarterly. Excise taxes are imposed on specific goods and services, usually applied when goods are manufactured rather than sold. Types of excise taxes include:
Environmental taxes
Communication and air transportation taxes
Fuel taxes
Retail taxes on certain vehicles
Ship passenger taxes
Foreign insurance taxes
Manufacturer's taxes on products like coal
Purpose: To report excise taxes owed.
Who must file: Businesses involved in activities subject to excise taxes.
Key deadlines: File by the last day of the month after the end of each quarter (April 30, July 31, October 31, January 31).
Form 940
Employers must use Form 940 to report and calculate their annual Federal Unemployment Tax Act (FUTA) taxes, which fund unemployment benefits for workers who lose their jobs. FUTA taxes are generally paid quarterly, but Form 940 is submitted annually.
Purpose: Reporting annual FUTA taxes.
Who must file: Employers who paid at least $1,500 to employees in a quarter or had at least one employee working part-time or full-time for at least 20 weeks in a year.
Key deadlines: File by January 31, or February 10 if all FUTA taxes were paid on time.
Form 941
Businesses use Form 941 to report payroll information, including wages, tips, and taxes withheld, as well as the employer's share of Social Security and Medicare taxes. It must be filed quarterly.
Purpose: To report wages, withholdings, and payroll taxes.
Who must file: Any business that pays employees.
Key deadlines: Due at the end of each quarter (April 30, July 31, October 31, January 31 of the following year).
Schedule B (Form 941)
Businesses classified as semi-weekly depositors (those with over $50,000 in employment tax liability in a lookback period or those who owe $100,000 on any given day) must file Form 941 with Schedule B to report their daily tax liability.
Form 944
Small businesses with an annual employment tax liability of $1,000 or less can file Form 944 instead of Form 941, simplifying the process by filing only once a year.
Purpose: Annual filing for businesses with small employment tax obligations.
Who must file: Businesses with annual employment tax liabilities below $1,000.
Key deadlines: File by January 31.
Form 1040
Form 1040 is used by U.S. taxpayers, including small business owners, to file annual individual income tax returns. It includes reporting on income, deductions, credits, and tax owed.
Purpose: To file annual individual income taxes.
Who must file: Anyone with income exceeding the filing threshold.
Key deadlines: File by April 15.
Schedules for Form 1040
Schedule C: Reports income or loss from a sole proprietorship.
Schedule SE: Calculates Social Security and Medicare taxes for self-employed individuals.
Schedule ES: For paying estimated quarterly taxes on income not subject to withholding (e.g., self-employment, interest, dividends).
Form 1065
Partnerships and multi-member LLCs must file Form 1065 to report income, deductions, credits, and other relevant financial information for the year.
Purpose: To report partnership income or losses.
Who must file: Partnerships and multi-member LLCs.
Key deadlines: Due by March 15.
Form 1099-NEC
Form 1099-NEC is used by businesses to report payments made to independent contractors or freelancers when payments total $600 or more in a year.
Purpose: To report payments to contractors.
Who must file: Any business that hires contractors or freelancers.
Key deadlines: Send to contractors and the IRS by January 31.
Other Key Tax Forms
Form SS-4: For applying for an Employer Identification Number (EIN).
Form W-4 For reporting how much tax to withhold as employer.
Form W-9 For sharing Contractors TIN with a Business, or third party.
With these forms in hand, you'll have a better understanding of how to handle tax filings for your small business. For personalized support or help with tax preparation, tax professionals and accounting software are great resources to make the process smoother.
