If you are starting or already have a small business and need information on taxes, recordkeeping, accounting practices, completing Federal business and employment tax returns, and meeting other Federal tax obligations, there is help available. Much of the assistance is free. The service is called Small Business Tax Education Program, or STEP. Go to Around the Nation for seminars in your area or check out Tax Info For Business on the IRS web site. You can find out more about this program for small business by referring to Publication 334, Tax Guide for Small Business, or Tax Topic 103, Small Business Tax Education Program (STEP).

Your question is a state tax question. Your state revenue department should provide information regarding sales tax to you. To access the state you need to direct your question to, please go to our State LInks on .

The Federal Income Tax return is filed annually. As a self-employed individual, if after deducting withholding and credits you expect to owe more than the amount allowed by law at the end of the year, you should make estimated tax payments on a quarterly basis. Form 1040-ES (PDF), Estimated Tax for Individuals, will assist you in determining if estimated tax payments are due and how they are paid.

When you file the income tax return at the end of the year, you include the income from the business on the return. The forms to be filed are Form 1040 (PDF), U.S. Individual Income Tax Return, Form 1040, Schedule C (PDF), Profit or Loss from Business, and Form 1040, Schedule SE (PDF), Self-Employment Tax. If estimated tax payments were made during the year, they will be claimed on the individual income tax return as payments. See Form 1040 (PDF), Line 65.

References:

• Publication 583, Starting a Business and Keeping Records
• Publication 505, Tax Withholding and Estimated Tax
• Publication 334, Tax Guide for Small Business

Some forms and entities have due dates other than the well-known April 15th due date. The instructions for the each type of form used will have the appropriate due date(s) noted. In general, sole proprietor's schedule of income and expenses is attached to the Form 1040 (PDF). Therefore, the due date is the same as the Form 1040 (PDF).

A Corporation may use either the calendar year, or a different tax year. An S corporation generally must use the calendar year, unless the entity can establish a business purpose for having a different tax year. The due date is March 15th for corporations on a calendar year and the 15th day of the third month following the end of the tax year for other corporations.

A partnership generally must conform its tax year of the partners unless the partnership can establish a business purpose for having a different tax year.

References:

• Publication 541, Partnerships
• Publication 542, Corporation
• Publication 334, Tax Guide for Small Business
• Entities: Sole Proprietor, Partnership, Limited Liability Company/Partnership (LLC/LLP), Corporation, Subchapter S Corporation