The IRS requires all corporations to file taxes annually, regardless of whether they made a profit during the fiscal year. Corporate tax returns are mandatory for companies incorporated as C-corporations or S-corporations. Many business owners opt for these corporate structures because of their benefits, such as the business paying taxes on profits instead of the owner.

C-corporations are required to pay taxes on all profits, excluding any deductions. S-corporations, however, can choose to be taxed as a corporation or as a pass-through entity, where profits are passed on to the owner and taxed through their personal income tax returns.

Corporate tax returns are generally due by March 15th each tax year, though business owners can request a six-month extension. Companies filing as corporations with assets exceeding $10 million must submit their tax returns online. At Tax Review Solutions, our tax accountants can handle online filing for your company, as tax documentation can only be submitted electronically. Corporations can also make installment payments in April, June, September, and December.

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Details Included on Corporate Tax Returns

Corporate tax returns detail the income and expenses of a corporation, determining its tax liability to the US government. Key information includes:

  • Income and expenses
  • Cost of goods sold
  • Dividends and expenses
  • Officer compensation
  • Accounting systems used
  • Business details
  • NAICS classification
  • Balance sheets
  • Income-loss statements

Information Needed to File a Corporate Tax Return

To file a corporate tax return, gather the following documentation:

  • Business name and address
  • Employer Identification Number (EIN)
  • Incorporation date
  • Total assets
  • Corporate income details such as:
    • Dividends
    • Cost of goods sold
    • Gross receipts
    • Interest
    • Rents
    • Royalties
    • Capital gains

Deductible Expenses for Corporate Tax Returns

Corporations can deduct various business expenses from their income, including:

  • Officer compensation
  • Salaries
  • Repairs and maintenance
  • Rents
  • Taxes and licenses
  • Interest expenses
  • Charitable contributions
  • Depreciation
  • Advertising
  • Pensions and profit-sharing plans
  • Employee benefit programs
  • Domestic production activities
  • Other miscellaneous deductions

Corporate Taxes for Foreign Investors

Non-US residents owning corporations in the US must file corporate tax returns. Consider consulting an international tax advisor for guidance, especially regarding:

  • Double taxation on income at corporate and personal levels
  • Alternative tax structures like LLCs for pass-through income

US Corporate Tax Rates

The US corporate tax system includes complex rates and exemptions. Explore personalized tax relief and corporate tax preparation services with Tax Review Solutions. Contact us at 949-359-9306 for expert assistance tailored to your needs, all managed remotely for your convenience.

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