Did you know that the IRS has changed the due dates for many of your tax return forms? These changes will be effective for taxable years starting after Dec. 31, 2015, meaning your 2016 tax returns filed next year (2017) will be impacted. Since some due dates have been altered quite a bit and others have not even been touched, it’s incredibly important to pay attention to the changes.
Stay out of trouble with the IRS. Start studying up on the new tax form due dates, below.
- Form 1065 pertaining to partnerships operating on a calendar year are now due March 15. A six-month extension from that date is allowable. Previously, the due date was April 15. According to the new law, partnership returns are now due on the 15th day of the third month after the year end.
- Form 1041, which refers to trust and estate taxes, gained a 5½-month extension from the original filing date of April 15. This was an increase of half a month.
- Your 2016 C Corp tax returns for returns that impact businesses with traditional Dec. 31 and June 30 year-end deadlines will be due on the 15th of the fourth month after the year end. A six-month extension from that date will be allowed.
o If your year-end is before Jan. 1, 2016, your due date is April 15, with a Sept. 15, extension.
o If your year-end is after Dec. 31, 2015, your new due date is April 15 with an Oct. 15, extension.
- For C Corps operating outside a traditional fiscal year end (with fiscal years other than Dec. 31 and June 30), the new due date for your tax return forms is the 15th day of the 4th month after year end and the 15th day of the 10th month after year end.
- A special rule for C Corps with a June 30 fiscal year end was established and will impact the due date for Form 1120. The new due date will go into effect for returns with taxable years beginning after Dec. 31, 2015 for the 2017 filing season.
o Before Jan. 1, 2016, Form 1120 is due Sept. 15 with an April 15 extension.
o After Dec. 31, 2015, the due date for this form is Oct. 15. The April 15 extension date will not change.
- For exempt organizations required to file Form 990, the new extension date becomes a single, automatic 6-month extension. This eliminates the need to process the current first 90-day extension.
- Those filing the Foreign Bank and Financial Accounts Report (FBAR) will have to adhere to a new April 15 due date. An Oct. 15 extension date was also established. This report was previously due on June 30.
- All W-2 and certain 1099-MISC forms are now due to the IRS/SSA no later than Jan. 31, which is the same day they are due to the taxpayer. All other Forms 1099 are due Feb. 28 or, if filed electronically, March 31. This is a change from the Feb. 28 due date (and March 31 date if filed electronically) for all W-2 and 1099 forms that was previously enforced.
For all the changes outlined above, there are a few rules that will remain unchanged. Below are four due dates that will not change in 2017.
- Form 1120S – These forms are due on March 15 with a six-month extension from the due date.
- Form 1040 – The individual tax form will continue to be due on April 15 with an Oct. 15 extension date.
- The due date for Form 5500, concerning employee benefit plans, will not change as a federal law that was enacted in December 2015 effectively repealed a previously enacted extension. These forms are due on July 31 with an Oct. 15 extension due date.
- Form 3520-A for foreign trusts with a U.S. owner will not be changing. These forms will continue to be due on March 15 with a Sept. 15 extension due date.
Check with your tax advisor to find out if you will be ready to comply with these changes and to ask any tax planning questions you might have. Believe it or not, tax season is closer than you think. Be a proactive business owner. With enough lead time, you can implement a tax savings strategy capable of delivering amazing results. Email Rea & Associates to learn more.
By Lisa Beamer, CPA (New Philadelphia office)