It’s tax time. No, really.
Corporations have to file by the ides of March. And, those entities that need to provide K-1’s to their stockholders (S entities, LLC’s operating as S) incur substantial penalties for late filing. About $ 100 per K-1 per month. (Yes, it can amount to thousands of dollars for those entities with numerous stockholders.)
Estates and partnerships have until the 15th of April to submit their returns. The same deadline as individuals. Which, for those folks who are partners in such entities, means they will probably have to file extensions on their own personal taxes, since they may not get the documents they need to file their own personal taxes until the due date for personal filing.
Normally, every year, folks are allowed to file their taxes by the second or third week of January. Which means those folks that overpaid their taxes a little bit every week can get their refunds before Valentine’s Day. It also means that those folks who have kids in college- and may need some financial assistance, can file their FAFSA accurately- since your tax submissions are required for this effort.
But, not this year. Because of the fiscal cliff shenanigans, the IRS could not finalize the tax forms required for this year until after a deal was cut. And, to be honest, since 2013 payroll was clearly affected by this fiscal cliff deal- and that involves every employer in the US, the IRS dealt with that issue first. Which led to the delayed filing date of 30 January. Today.
But, even with those stipulations, not every one of the 120 million households in America can file today. First time home buyers in DC- the ones who are entitled to a $ 5000 tax credit- can’t. Nope. The IRS has not approved their forms for filing yet. Nor can those who have residential energy credits, general business credits, among others.
So, contact your tax professional to get specific instructions for your needs. (Our phone number is 703.548.1343…we’d love to help you pay the lowest amount of taxes required by law.)
You are that man who reminded the teacher to give the homework. 😛 I am as ready as I will ever be, and you did in fact remind me I need to call my tax person. Thankfully I adore my tax person, I bring her lunch and we catch up on the year before we get down to business.
Lisa Brandel recently posted..Don’t Stay On The Porch by Lisa Brandel
Glad to hear you are ready… Because, I believe your case will entail significant sums above and beyond the “income tax”…because of self-employment taxes, the bane of many of those in that boat, Lisa.
Blimey, what a mess! Presumably in due course there will be a plethora of legal cases to reclaim fines issued for late returns?
The Great Gordino recently posted..Content Creation – Do I Practice What I Preach?
I don’t think the two weeks are a big issue overall- except for those who need to file a FAFSA (the application used by schools and the Feds to determine financial aid in the states)…
But, it is a problem for practitioners who try to balance their workload, Gordon!