Originally from:
Advising Minnesota Corporations and Other Business Organizations - 2nd Edition - Hardcover
Advising Minnesota Corporations and Other Business Organizations - 2nd Edition - Electronic
Preview Page
CHAPTER 73
TAX ISSUES IN OPERATING
A CORPORATION AFTER INITIAL
FORMATION STAGE
§ 73.01 Corporate Tax Returns and Tax Procedure: Return Filing
Requirements
Internal Revenue Code § 6012(a) requires the filing of an income tax
return for “every corporation subject to taxation under subtitle A” (the
income tax subtitle).1 This requirement applies even if the corporation is
inactive and doing no business. In such cases, the return requirement
continues until the corporation is dissolved. The basic tax form that most
corporations use is Form 1120. There are special tax forms for certain
corporations. These forms include:
• Form 1120-S for Subchapter S corporations;
• Form 1120-L for life insurance companies;
• Form 1120-A for certain small corporations; and
• Form 1120-F for foreign corporations.
The due date for filing a corporate income tax return is March 15th
following the close of the taxable year for calendar year corporations,
and the 15th day of the third month following the close of the fiscal year
for fiscal year taxpayers.2 Extensions of time can be granted for the filing
of tax returns.3 The Internal Revenue Service (IRS) allows corporations an
automatic six-month extension for filing of a corporate income tax return.
To obtain the extension, the corporation must file Form 7004 on or
before the due date for the filing of the income tax return. This extension
does not extend the time for payment of the tax. Along with the Form
7004, the corporation must pay 100 percent of its estimated tax for the
year.4 Interest and penalties may result if the amount paid is less than the
actual tax liability for the year.
Roger J. Magnuson is a Partner at Dorsey and Whitney, LLP, where he serves as Head of the National Strategic Litigation Group and has practiced since 1973. He has been recognized as one of the top trial lawyers in the United States by major national and international publications, including Chambers International Guide to American Lawyers, which profiles the top 500 trial lawyers in the United States, Best Lawyers in America, Who's Who in American Law, and Who's Who in America. Mr. Magnuson was also recognized by a Journal of Law and Politics' survey for Judge's Choice "Wins Most Cases."
Some high profile cases that he has litigated include representation of the Florida Senate in the Bush v. Gore election controversy in 2000; and representation of the Plaintiffs in the widely publicized and studied Mall of America case. For several years he has represented, among other persons and entities, the Minnesota Twins and Major League Baseball principals and players in litigation; and has litigated national and local cases in federal and state court venues. He has appealed before the Supreme Court in a number of cases; as well as the Minnesota Supreme Court. He has authored several articles and 7 books.
Richard A. Saliterman is a Principal in Saliternan & Siefferman P.C., a full-service firm in Minneapolis established in 1976. Mr. Saliterman is a leading expert on corporate business matters, and is the author of several publications on business start-ups, franchises, and trademarks. Mr. Saliterman is the former National Judge Advocate for the U.S. Navy League, based in Washington D.C.
Contributing Editor:
Amanda Chang
Contributing Authors:
Alecia Anderson
Seth Back
John Baker
Shannon Berg
Constatin Burachek
Benjamin Carpenter
Ryan Check
Carl Christensen
Peter Fear
Michael Frasier
Aaron Hall
Catherine Hanson
Paul Harman
Amy Ithlan
Michael Kern
Chris Kuhlman
Brett Larson
Joshua Lederman
Karen Lundquist
James Magnuson
Jennifer Mead
Rao Menier
Heidi Miller
Rachael Moxon
Oliver Nelson
Scott Peitzer
Mitchell Skinner
Jonathan Stechmann
Lael Weinberger
Jonathan Wilson
Alex Zumbulyadis
