Income Tax Payments for Business (Quarterly, Projected, Annual, Back Taxes)

When it comes to income tax payments for business, unless your company is a specific exception, you are responsible for paying a variety of municipal, state and federal taxes for your employees, if you have them. This does not apply when hiring independent contractors. You are also responsible for self-employment taxes if you work for yourself. Since withholding tax for a corporation does not exist, you are also responsible for paying small business taxes quarterly on business income throughout the year. The IRS provides an annual calendar with a list if scheduled payment dates. You will pay an estimated or projected amount each quarter based on the actual annual taxes for your small business from the previous year. Your company will be required to pay a penalty on overdue small business taxes. If your back taxes are unmanageable, you can set up a payment schedule or risk having your IRS account sent to a collection agency. Depending on the nature of your small business and where you are headquartered, you will also be required to pay municipal and state taxes for your small business. Please contact us for more information on small business taxes and income tax payments for business.