If your C-Corp is a Qualified Small Business, try to file by the end of March. Here’s why.

Mid-March is the tax deadline for calendar year end Partnerships (1065) and S-Corps (1120s). That is unless your company decided to extend its filing which would give you an additional six months to file.

Mid-April is the tax deadline for your personal taxes (1040) as well as calendar year end C-Corps (1120).

For our C-Corp clients that meet the requirements of a Qualified Small Business (per the IRS), and who plan to file by the April deadline, we actually encourage they file their Federal tax return by the end of March. The reason is because March 31st is the end of Q1 and these clients can start applying their R&D tax credit against Q2’s payroll taxes.

Because 4/1 to 4/15 falls in Q2, these clients will have to wait until Q3 to apply their R&D tax credit against payroll taxes.

In our view, we like to save money sooner rather than later!

We hope you are having a productive tax season!