Don’t Miss These Small Business Quarterly Tax Due Dates

Don’t Miss These Small Business Quarterly Tax Due Dates

As a small business owner, you’ve got a lot to juggle. From marketing and sales to hiring and operations, the demands of running a small business can be overwhelming at times. But there’s one critical area that you can’t afford to overlook: taxes. And specifically, your quarterly tax due dates.

If you’re not familiar with quarterly taxes, here’s a brief overview. Depending on your business structure and how much income you generate, you may be required to pay estimated taxes every quarter. These are essentially prepayments of your annual income tax liability, and they’re due four times a year – in April, June, September, and January.

Missing these due dates can have serious consequences, from penalties and interest charges to potential audits and even legal action. So, in order to stay on top of your tax obligations, it’s important to mark your calendar and plan accordingly. Here are the key dates you need to know:

April 15th

This is the deadline for your first quarter estimated tax payment, which covers the months of January through March. If you’re a sole proprietor, partner in a partnership, or member of an LLC, you’ll use Form 1040-ES to calculate your estimated taxes and make your payment. If you’re a corporation, you’ll need to use Form 1120-W.

June 15th

The second quarter estimated tax payment is due by this date, covering April through May. The same forms and payment methods apply as for the first quarter.

September 15th

Your third quarter payment is due by this date, covering June through August. By now, you should have a good sense of your year-to-date income and expenses, so you can update your estimated tax calculations accordingly. Don’t forget to take into account any changes to your business that may affect your tax liability, such as new employees or investments.

January 15th

Finally, the fourth quarter estimated tax payment is due by January 15th of the following year. This payment covers September through December and brings your estimated tax payments for the year to a close. It’s important to note that this payment is due before you file your annual tax return, which is typically due on April 15th of the following year.

By keeping these due dates in mind and staying on top of your estimated tax payments, you can avoid potential penalties and headaches down the road. But there’s one more thing to keep in mind: while making estimated tax payments can help you avoid an unexpected tax bill come April 15th, it’s still possible that you may owe additional taxes when you file your annual return. That’s why it’s important to work with a tax professional and stay on top of your tax planning throughout the year.

In summary, staying organized and aware of your quarterly tax due dates is key to success as a small business owner. Keep these dates in mind, use the appropriate forms and payment methods, and seek out professional guidance when needed. By doing so, you can keep your tax obligations under control and stay focused on growing your business.