Tax preparers and business owners are familiar with a few key deadlines when it comes to taxes. Currently, returns are due March 15th for C and S corporations and April 15th for individuals and partnerships before extensions. President Obama signed H.R. 3236 into law on Friday, July 31st, which has some important implications for partnership returns, C-corporation returns, FinCEN Form 114 (FBARs), and other informational returns. The following changes will apply to tax years beginning after December 31, 2015:
- C corporation returns (Form 1120) will be due April 15th for calendar year filers or the 15th day of the fourth month following the close of the corporation’s year
- Partnership returns (Form 1065) will be due March 15th for calendar year filers or the 15th day of the third month following the close of the fiscal year
- FinCEN Form 114 will be due April 15th, and will allow a six-month extension. Previously this form was due June 30th and did not allow an extension.
- Trust returns (Form 1041) that have been extended will be allowed a 5 ½ month extension to September 30th for calendar year taxpayers
- Extension dates for Forms 5500, 990, 4720, 5227, 6069, 8870, and 3520-A will also be changing slightly. See here for a list of these changes.
For many tax preparers, the timing of these due dates make logical sense. By requiring flow through entities to file a month in advance of individuals, taxpayers have enough time to gather information and file a complete and accurate return.