March 15, 2018, is the deadline for filing 2017 S-Corp and partnership tax returns, or extensions. Don’t miss any of these tax filings, it could cost you.
The official deadline to file your federal income tax return each year can be a little shifty. Yes, it’s supposed to be April 15—unless something interferes with that timing like April 15 falling on a weekend or a holiday. Whenever a tax deadline falls on a Saturday, a Sunday or a legal holiday, it’s typically moved to the next business day.
That’s why the filing deadline is April 17 in 2018. April 15 is a Sunday and April 16 is Emancipation Day. That holiday might not be highlighted on your personal calendar, but it’s a legal holiday in the District of Columbia so it gives you an extra day to file.
2017 S-Corp and partnership tax extensions
Extensions are easy to prepare and e-file for S-Corps and partnerships since they pass through income and loss to the owner, usually an individual. Pass-through entities are tax-filers, but not taxpayers. 2017 individual and calendar-year C-Corp tax returns or extensions with taxes owed are due April 17, 2018.
Some states have S-Corp franchise taxes, excise taxes, or minimum taxes, and payments are usually due with the extensions by March 15. LLCs filing as a partnership may have minimum taxes or annual reports due with the extension by March 15.
2017 S-Corp and partnership extensions give six additional months to file a tax return, by Sep. 17, 2018.
The IRS late filing penalty regime for S-Corps and partnerships is similar. The IRS assesses $200 per owner, per month, for a maximum of 12 months. Taxpayers may request penalty abatement based on reasonable cause. Ignoring the extension deadline is not reasonable cause. There is also a $260 penalty for failure to furnish a Schedule K-1 to an owner on time, and the penalty is higher if intentionally disregarded. States assess penalties and interest, often based on payments due.
Have you missed a date?
Don’t panic if you’re reading this list and realizing that an important date has come and gone. OK, you can panic a little, but the situation is most likely not going to land you in jail or result in an audit if you take action immediately.
The IRS says you should file your return as soon as possible if you’ve missed the deadline. If you owe taxes, pay them as soon as possible as well. You’ll probably be hit with a moderate financial penalty, if only an extra interest charge, but the IRS should accept your money and your return and that will be the end of it unless there’s another problem.
How to file your tax return
Make sure you check your state residency status as it may be different than your residency for federal tax due to some states having different rules and not following the federal ones and select the non-resident form. You must file your US tax return before the deadline of the following year.