The 1120 Tax Form

 

 

 

 

*Specializing in researching and preparing multiple prior year tax returns*

Use Form 1120, U.S. Corporation Income Tax Return, or Form 1120-A, U.S. Corporation Short-Form Income Tax Return, to report the income, gains, losses, deductions, credits, and to figure the income tax liability of a corporation. Also see Pub. 542, Corporations, for more information.

Unless exempt under section 501, all domestic corporations (including corporations in bankruptcy) must file an income tax return whether or not they have taxable income. Domestic corporations must file Form 1120 or, if they qualify, Form 1120-A, unless they are required to file a special return (see Special Returns for Certain Organizations on page 3).

• Limited liability companies. If an entity with more than one owner was formed as a limited liability company (LLC) under state law, it generally is treated as a partnership for federal income tax purposes and files Form 1065, U.S. Return of Partnership Income. Generally, a single-member LLC is disregarded as an entity separate from its owner and reports its income and deductions on its owner's federal income tax return. The LLC can file a Form 1120 or Form 1120-A only if it has filed Form 8832, Entity Classification Election, to elect to be treated as an association taxable as a corporation. For more information about LLCs, see Pub. 3402, Tax Issues for Limited Liability Companies.

• Corporations engaged in farming. Any corporation that engages in farming should use Form 1120 or, if they qualify, Form 1120-A, to report the income (loss) from such activities. Enter the income and deductions of the corporation according to the instructions for lines 1 through 10 and 12 through 29.

Here's the minimum you need to prepare an S-Corporation tax return:

• a complete set of financial statements: Income Statement & Balance Sheet,
• a complete transaction history and summary statement of each shareholder's capital accounts,
• tax software that prepares 1120S tax returns.
• complete information about each shareholder: name, address, and SSN.

 

In addition, you may want or need additional financial records, such as:

• payroll tax returns,
• copies of W2 statements,
• sales tax returns,
• transaction details of federal, state, and local taxes paid.

 

The deadline for filing Form 1120S is March 15th, or the 15th day of the third month following the end of the corporation's tax year. (S-Corporations almost always must have a calendar year.) The corporation can request an automatic 6-month extension using IRS Form 7004 (PDF). The extended deadline for corporate returns is September 15th.