Do I need to file separate tax extensions for my business and myself?
If you’re having trouble with your business taxes, you may also wonder about your personal taxes. Everything can pile up on you quickly and worrying about both at once can be a real headache.
However, you can always file an income tax extension form. But do you need to file for both a personal tax extension and a business tax extension? The answer lies in what kind of business you own: a partnership, multi-member LLC or single member LLC.
Single Member LLC
If your company is yours and only yours, it is likely considered a pass-through entity. This means you and your business are one in the same when it comes to tax purposes. This is why you fill out Schedule C for your business along with your personal 1040 form.
Because of this, you don’t need to fill out both a personal and a business tax extension. You will only need to file a personal tax extension (Form 4868). If approved, this will suffice for both your personal and business tax extension needs.
Partnership or Multi-Member LLC
Is your business owned by more than one person? Are you one member of a multi-member business or partnership? If this is the case, you will need to file for a separate tax extension. This is because the company isn't associated just with you. It’s a totally separate entity that needs its own income tax extension form.
Your partners will all have to file their own tax extensions as well. The business isn’t technically associated with them either. You will have to speak with your business partners about whether to file for a tax extension, as miscommunication can lead to tax problems. It would be especially bad if some put in for a tax extension and others tried to file!
If you need further help or have questions, consider using a company like FileLater to file your tax extension form.