Understanding and complying with tax obligations in the United States is fundamental to any company’s success and legal compliance. Below, we detail the main tax forms your company may need to submit, including descriptions, who must file and important dates.
Form W-9: Request for Taxpayer Identification Number and Certification
– What is it? Form W-9 is used to collect tax information from individuals or entities that are US citizens or residents.
– Who should send it: Companies should request this form from vendors or independent contractors to whom they paid $600 or more during the tax year.
– Deadlines: There is no specific deadline for submitting the W-9; however, it is recommended to collect it before making payments to ensure tax compliance.
Form W-8: Certificate of Foreign Status for U.S. Tax Withholding and Reporting Purposes
– What is this form? This form certifies that the payee is a foreign national and qualifies for reduced withholding rates or exemption under tax agreements.
– Who should send it: Form W-8 is required of foreign individuals or entities that receive income from sources in the US.
– Deadlines: It must be completed before the first payment and updated every three years or when there are significant changes in the information.
Form 1099-NEC: Report of Payments to Non-Employees
– What is it? It is a tax document that companies use to declare payments made to non-employees, such as contractors, freelancers, consultants, suppliers and other self-employed individuals.
– Who should send it: Companies that pay $600 or more to non-employees, such as independent contractors, must issue Form 1099-NEC to report these payments.
– Deadline? This form must be sent to recipients and the IRS by January 31 of the year following the payment.
Form 1065: Partnership Income Statement
– What is this form? It is used to declare the income, deductions, credits and other items of a partnership.
– Who should send it: Partnerships, including multi-member LLCs, must file Form 1065 to report income, deductions and credits. Although the partnership does not pay tax directly, each partner must report their share of the profits or losses on their individual returns.
– Deadlines: The deadline for submission is March 15 of the year following the tax year.
Form 1120: Corporate Income Tax Return
– What are they? Forms 1120 and 1120s are documents that corporations use to report their income and find out how much tax they owe the IRS. Both forms allow corporations to report credits, deductions, losses, gains and income. Based on this information, the forms provide the formulas needed to calculate a company’s total tax burden.
– Who must submit: C corporations must use Form 1120 to report their income, gains, losses, deductions and credits to the IRS.
– Deadlines: The standard deadline for submission is April 15 of the year following the tax year, with the possibility of a six-month extension.
Form 1120-S: S Corporation Income Tax Return
– What is it? Forms 1120 and 1120s are documents that corporations use to report their income and find out how much tax they owe the IRS. Both forms allow corporations to report credits, deductions, losses, gains and income. Based on this information, the forms provide the formulas needed to calculate a company’s total tax burden.
– Who must submit: S corporations, which choose to pass through income and losses directly to shareholders, must file Form 1120-S.
– Deadlines: The deadline for submission is March 15 of the year following the fiscal year.
Form 5472: Statement of Foreign Entities and Related Party Transactions
– What is it? This form is intended to report the occurrence of transactions carried out between such LLCs and their respective partners or other related foreign parties during the preceding fiscal year.
– Who should send it Single-member LLCs with foreign ownership or foreign corporations operating in the US must file Form 5472 to report related party transactions.
– Deadlines: This form is attached to Form 1120 and must be submitted by April 15 of the year following the tax year.
Form 4868: Request for Extension of Time to File Tax Return
What is this form? This form grants an automatic six-month extension, moving the deadline to October 15.
Who should submit it: Companies and individuals who need more time to submit their tax returns can file Form 4868.
Deadlines: It’s important to note that this extension is only for filing the return, not for paying taxes due, which must still be paid by April 15 to avoid penalties and interest.
BOI: Beneficial Ownership Information Report
What is BOI? Beneficial Ownership refers to individuals who directly or indirectly own or control a legal entity, such as a company or a foundation. This information is vital to ensure the transparency of business and financial activities.
Who should submit it: All legal entities, including corporations, LLCs and other forms of companies, except for a few specific exceptions such as banks and non-profit organizations.
Deadlines: Companies incorporated before January 1, 2024 must submit an initial, updated or corrected BOI report by March 21, 2025.
Reporting companies incorporated or registered on or after February 18, 2025 must submit the report within 30 days of creation/registration.
Reporting companies with extended deadlines due to disaster relief can submit the report until the new stipulated date.
Count on Drummond Advisors
Keeping up to date with tax obligations and filing deadlines is essential to avoiding penalties and ensuring your company’s legal compliance in the US. Count on Drummond Advisors to ensure that your company is tax compliant in the United States. Contact us through the available chat.
Written by Marcos Ferreira, Content Analyst at Drummond Advisors