If you’ve recently formed a limited liability company (LLC), you may have some tax questions. One of the most important is about when LLC taxes are due. The answer is that it depends on how your LLC is taxed.
When Taxes Are Due
If you have a single-member LLC and have not elected to be taxed as a corporation, the answer is simple. Your LLC income passes through to you and taxes are paid on your personal tax return, due April 15th.
For multi-member LLCs taxed as partnerships or LLCs (whether single-member or multi-member) you will have to choose whether your accounting will be based on a calendar year, which is January to December, or a fiscal year. A fiscal year is a 12-month period starting from any date you choose. For example, your LLC’s fiscal year could run from May 1st to April 30th.
If you choose to be taxed as a C-Corp and use a calendar year, your taxes will be due on or around April 15th. If you use a fiscal year, your taxes will be due on the 15th day of the 4th month after your fiscal year ends. For example, if your fiscal year ends April 30th, your taxes will be due August 15th.
If you choose to be taxed as an S-Corp, you have to use a calendar year and your taxes, which are paid by filing your personal tax return, will be due March 15th.
If you’re taxed as a partnership, if you use a calendar year, your taxes will be due March 15th. If you use a fiscal year, taxes will be due on the 15th day of the 4th month after the end of your fiscal year, as with a C-Corp.
To answer the title question, again, it depends how your LLC is taxed. Taxes for a business can be complicated, so your best bet is to have your tax advisor involved early so they can advise you on the best way to handle your taxes. It’s worth the cost of a tax advisor to avoid costly tax mistakes.