Quarterly tax deadlines can be a cause of concern for small business owners. A failure to meet these deadlines could attract penalties, interest on unpaid taxes, and other legal consequences. With these concerns in mind, it is important for small business owners to understand the key quarterly tax deadlines so that they can stay informed and avoid any penalties.
In this article, we will cover some of the critical quarterly tax deadlines that small business owners should remember and explain how to prepare for them.
First Quarter – Jan 1 to Mar 31
The first quarter of the year covers from January 1st to March 31st. Businesses have to file their estimated tax payments for this period by April 15th. Small businesses that pay their employee salaries and withhold taxes do not need to file any quarterly tax returns during this period. However, the deadline to provide W-2 forms and 1099 forms for the previous year (January 31st) should be kept in mind.
Second Quarter – Apr 1 to Jun 30
The second quarter of the year covers from April 1st to June 30th. Businesses need to file and submit their taxes by July 15th. It is quite important to accurately calculate and report your income and expenses to the IRS during this period. If you have employees on payroll, you need to make sure that you have made any necessary tax deposits during this period.
Third Quarter – Jul 1 to Sep 30
The third quarter of the year covers from July 1st to September 30th. Businesses need to file and submit their estimated tax payments and also pay their payroll taxes by September 15th. It is essential to note that if the combined employee and employer contributions are more than $2,500 during the previous year, businesses must file Form 940 by January 31st. This form confirms that the employer’s taxes have been correctly deposited, ensuring that all tax returns are correctly filed.
Fourth Quarter – Oct 1 to Dec 31
The fourth quarter of the year covers from October 1st to December 31st. Businesses need to file their tax returns at this time by January 15th. If you’ve made any tax payments during the year, this period would be the ideal time to account for your taxes. You need to file a 1099 form by January 31st if you have made payments of $600 or more to a person other than an employee during the year.
Conclusion
To sum up, quarterly tax deadlines can be a source of worry for all business owners, but they can be managed efficiently. To avoid any potential penalties or legal issues, you need to mark the above dates on your calendar and make sure that you file your taxes on time. Keeping accurate records and consulting a qualified accountant can help you prepare for any challenges while letting you focus on running your business. Don’t wait until it’s too late to prepare – make sure to stay up to date with your quarterly taxes.
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