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    7 Replies Latest reply on Oct 2, 2011 11:06 AM by dublincpa

    Tax Filing for S-Corp

    snowspot Newbie
      Does anyone know if I have to file a California S-corp Tax Return with the FTB since I started a business in 2010 and dissolved in 2010 also? Do I still owe the $800 franchise tax? I only had very few expenses no income was generated. If I have to file, when would it be do? S-corp fiscal year is calendar year.
        • Tax Filing for S-Corp
          bm911tax Adventurer

          Why did you open a corp and then closed it in the same year?  If you did the initial paperwork correctly, you should have indicated what tax year this S Corp will use - Fiscal or Calendar years.  Did you receive an S corp approvals from the IRS and CA?

          • Tax Filing for S-Corp
            dublincpa Scout

            http://www.ftb.ca.gov/forms/misc/1038.pdf

             

            It may be possible to avoid the tax.  See the above.

              • Re: Tax Filing for S-Corp
                sam2011 Wayfarer

                Which form required to deposit advance tax for S-corp. Is it 1040-ES or any other forms.

                  • Re: Tax Filing for S-Corp
                    dublincpa Scout

                    California Estimated taxes for S Corps are paid with Form 100-ES.  There is also an electronic method, but I am not familar with it.

                     

                    http://www.ftb.ca.gov/businesses/bus_structures/sCorp.shtml

                     

                    There are no Federal taxes for all but a handful of S Corps that were previously C Corps.  If you are among the rare few, you would use your Form 8109 tax deposit coupons or EFTPS.

                      • Re: Tax Filing for S-Corp
                        sam2011 Wayfarer

                        I am owner/employee of my S-corp and get monthlly salary from S-corp. Will I pay estimate tax from my personal checking account or from business account.

                          • Re: Tax Filing for S-Corp
                            dublincpa Scout

                            Sam,

                             

                            Based on your old post about converting from a C to an S, you fall into the small group of S Corps that may have to pay Federal tax depending on what you have done since then and whether this is the same entity.  This is more of a risk if you are cash basis rather accrual.

                             

                            It is possible that both you and the corporation owe estimated taxes. However, there is not enough info in the posts to make a determination.  Quite frankly this isn't the place to post that kind of personal information for all to see. You really need to engage a competent tax preparer to help you. It seems like you have been in business a while.  This is really a critical matter for which you should get professional assistance.  S Corps especially can be complicated for do-it-yourselfers.  It may actually cost less in the long run to hire someone good than to risk goofing up by doing something complicated that you don't seem to understand.  In my own home for example, I will change a simple outlet, switch or basic light fixture.  However, for anything more than that I call someone who fully understands the subject.  They money I would save is not worth all the risks to me, the house or my family.  The same goes for taxes.  There is a lot of simple stuff I strongly encourage people to figure out on their own.  This likely is not one of those subjects.


                            Regards,

                            Mike

                    • Re: Tax Filing for S-Corp
                      Moderator Jim Ranger

                      Lots of great advice in this thread! Let's keep 'em coming!

                       

                      Jim