When Are Business Taxes Due?

by Eric Wright on September 27, 2022
Preparing your business taxes can take a while, so you need to know your deadlines. We answer a vital question, "When are business taxes due?".

Business owners who miss a tax deadline can quickly find themselves facing interest and other penalties. Those that owe back taxes they can't afford can quickly find themselves in hot water. 

That's why it's so crucial to pay your business taxes on time. So, when are business taxes due? 

Keep reading to discover all the important information you need and when to mark down dates on your calendar. 

Tax Day

Most people know April 15th as Tax Day, or the day when sole proprietors, C corporations, and individuals have to file taxes. Occasionally, Tax Day gets pushed back due to how certain holidays fall

However, tax day is earlier for partnerships and S corporations. That tax day is March 15th. 

Keep in mind that these are the due dates or the last days to file. You should prepare and file your taxes early when possible to avoid any delays and possible complications. 

Do You Owe Quarterly Taxes? 

If you just started your business, you may be wondering whether you owe quarterly taxes and when those are due

Every year, you'll file a federal income tax return. However, if you plan on making more than the amount allowed by the law following any withholding, credits, and deductions, you must make quarterly estimated tax payments. 

Freelancers owe self-employment taxes in addition to their income taxes. They must file tax returns if they gross $400 or more. 

You can use Form 1040-ES to calculate those payments. Additionally, you can find due dates and learn how to make payments. 

Corporations make installment payments if they anticipate their estimated tax to be $500 or more. Corporations other than S corporations use Form 1120-W to calculate each installment payment. 

According to the IRS, individuals, sole proprietors, S corporation shareholders, and partners should make estimated tax payments if they anticipate owing $1000 or more. Corporations will usually have to make estimated payments if they expect to owe $500 or more. 

Businesses that make estimated quarterly payments throughout the year will claim them on their tax returns. 

Quarterly Payments: When Are Business Taxes Due? 

The first quarter includes January, February, and March. The second quarter includes April, May, and June. The third quarter is July, August, and September, while the fourth quarter includes October, November, and December. 

If you don't pay enough by the due date, you may face penalties. Penalty amounts can be several hundred dollars. 

The payment calendar is as follows: 

  • January 1 to March 31 – April 15
  • April 1 to May 31 – June 15
  • June 1 to August 31 - September 15
  • September 1 to December 31 – January 15 of the following year

Keep in mind that if the dates fall on a weekend or holiday, the payment is due the following business day. 

Pay as You Go to Avoid Penalties

So, when are business taxes due? 

Although most people know Tax Day as April 15th, that may not apply to your business. Be sure to use this guide as you perform tax preparation for the year. Remember to schedule quarterly payments by the deadlines to avoid any penalties. 

We know that taxes can get complicated, which is why we provide useful forms and resources to help make filing state and federal income taxes easier. Check out our TurboTax download page to make tax prep easy.