By Keiter CPAs
Please pay special attention to the due dates as some have changed from years past.
Miscellaneous Income – every entity must file Forms 1099-MISC if, in the course of its trade or business, it makes payments of rents, services, commissions, or other fixed or determinable income totaling $600 or more to any one person or attorney during the calendar. “Person” includes an individual/sole proprietor, partnership, trust/ estate or Limited liability Company with a “P” marked as the tax classification on the Form W-9. A Form 1099-MISC is required for all payments to attorneys (regardless of entity type) if greater than $600 cumulative for the year. You must request a Form W-9 from all payees to confirm the classification. Forms 1099 are due to recipients and copies along with the summary Form 1096 are due to the IRS by January 31 (assuming you are reporting an item in Box 7, Non-Employee Compensation). Be sure to have a Form W-9 on file for each vendor to support the issuance/or not of Form 1099-MISC.
Form 1099-INT or Form 1099-DIV
Required to be filed by February 28.
Generally business tangible personal property (BPPT) is taxable in the locality in which it is located on Tax Day, or January 1. Due dates for different localities vary, but business property tax returns are due to many counties on March 1. The localities then prepare assessments based upon the information provided and send out tax bills.
Most localities require a business license tax – sometimes exemptions are available so please ensure you are aware of your local requirements. This is a tax on the privilege of engaging in a licensable business activity within the City or County, and it is normally calculated upon gross receipts (or gross purchases in the case of wholesale merchants). New businesses must obtain all required licenses prior to beginning business in the City or County. For existing businesses, renewal applications and appropriate tax payments must be filed in the Commissioner’s Office or postmarked on or before the due date, which for most is March 1 of each year.
FinCEN Form 114
Foreign Bank Account Report is due April 15 (but is automatically extended to October 15). This is required for all U.S. residents who have a financial interest in or signature authority over foreign financial accounts if the aggregate value of the foreign financial accounts exceeds $10,000 at any time during the calendar year.
Annual Withholding Tax Return for U.S. Source Income of Foreign Persons is required to be filed by March 15. This form reports payments of U.S. sourced income to non-U.S. persons. Forms W-8BEN (for individuals) or Forms W-8BENE (for entities) should be obtained to confirm which non-U.S. vendors require such filings and any related withholding. Note that the Forms W-8 are similar to Form W-9 (for U.S. individual and entities). If withholding is required, it may be due prior to March 15 – the amount of tax you are required to withhold determines the frequency of your deposit.
Additional tax resources:
About the Author
The information contained within this article is provided for informational purposes only and is current as of the date published. Online readers are advised not to act upon this information without seeking the service of a professional accountant, as this article is not a substitute for obtaining accounting, tax, or financial advice from a professional accountant.