Partnership Income Tax Guide

Partnership Tax Forms, Tax Filing Information

A Guide to Partnership Income Taxes
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Change in Partnership Tax Return Due Date

The due date for income taxes for partnerships and multiple-member LLC's taxed as partnerships is March 15. If March 15 falls on a weekend or holiday, the return is due the next business day. Check this article about for the current year to get the exact date. This partnership return information is also for multiple-member LLC's, which file their business tax returns as partnerships. 

If you file anyour partnership tax return, it must be filed by March 15, and taxes (estimated) must be paid by that date. You have six months to file the return, which is due September 15. If you file an extension, you must still pay the income tax by the original due date; payment is not extended

U.S. Partnerships and Income Taxes

This guide will take you through the top pieces of information to help you prepare for partnership taxes, including types of partnerships and how they are taxed, when and where to file, which form to use, and estimating partnership taxes.

Before you enlist the help of a CPA, , or other qualified tax preparer to prepare your partnership's taxes, there is some basic information about partnership taxes you should know. Read more about .

Multiple-member LLC's are taxed as partnerships

The information provided in this tax guide is also applicable to multiple-member limited liability companies, which are taxed as partnerships for federal income tax purposes. Read more about

Types of Partnerships

Several different types of partnerships may be formed, depending on the preferences of the partners. A partnership can be formed as a general partnership, with all partners participating in the management, or it may have limited partners. A limited liability partnership may also be formed. All partnership types file federal income tax using the forms described below; how the individual partners are taxed depends on the type of partnership and the specific details of the . Read more about

Partnership Federal Income Tax Forms

Partnerships file their federal income tax returns using Form 1065 is an information return, meaning that no tax is imposed directly on the partnership based on information in Form 1065.

The partnership must also prepare a to give to each partner, showing that partner's distribution of the profits or losses of the partnership for that year. The Schedule K-1 is filed with the individual partner's personal income tax return for the year, and the total from the Schedule K-1 is recorded in Line 12 - Business Income. Individual partners pay income taxes on their share of the profits for the partnership. The partners must also pay (Social Security/Medicare) based on their share of profits, each year.

Tax Filing Documents Needed for Partnership Income Tax Return

To file your partnership income taxes, you will need to provide some financial reports and other documents to your tax preparer. These documents include a balance sheet for the beginning of the partnership's fiscal year and the end of that year, a profit and loss statement for the end of the year, information to calculate cost of goods sold, and other documents. Here is a list of the .  

Where and How to File Partnership Income Taxes

You can file your partnership tax return on Form 1065 or you can have your tax preparer the return. If you are filing by mail, the address for sending in your federal tax return for a partnership depends on your state. See page 4 of for the mailing address for your state.

State Partnership Taxes

Partners must pay income taxes on their distribution of profit in a partnership in the state or states where the partnership is located. Partnership taxes are paid on the individual partner's personal state tax returns.

More on Partnership Taxes from the IRS

The IRS web page titled includes a description of the taxes paid by partnership businesses and the individual partners. It's worth a look if you are confused.