Form 7004 which is otherwise known as an Application for Automation Time Extension for filing Business Income tax return and other related returns. Filing this business tax extension application (Form 7004) online is made simple and quick by e-filing Form 7004 with an IRS Authorized tax service provider like Tax2efile.com.
IRS Form 7004 Extension for Business Tax Returns
Generally, Form 7004 consists of three main sections and the extension time provided by submitting the form to the IRS is 6 months of the business extension period. In order to get your application approved by the IRS, you need to submit the Form 7004 before the actual due date, which is 15th March for every business. But, this due date varies for certain companies like C Corporations, for which the deadline is 15th April.
The applied extension is only applicable for filing the business tax return and it is not the extension for paying the tax return to the IRS. All the tax dues must be paid before the actual deadline.
Some Basic Information in Filling Form 7004
- Provide the business name on the IRS 7004 Form as you entered in the previous tax year.
- When the business name in the Form 7004 does not match with the IRS database, then the Form may get rejected.
- Provide appropriate Employer Identification Number, business address, or Social Security Number (SSN).
- If any of the Identification Number is incorrect or mismatch, then the IRS rejects the application.
- When there is a change in the business mailing address, the tax filer needs to update the same in Form 7004 and also in IRS 8822, Change of Address Form.
- Include Name, Tax id number and address of the business without fail
- Provide the tax return code for preparing the tax.
- Code 25 for S Corporation (Form 1120 S), code 09 for a partnership (Form 1065), and code 12 for the corporation (Form 1120).
How to Complete Form 7004?
- The Form 7004 checks whether the business you own qualifies under Regulations section 1.6081-5. This section is related to domestic and foreign corporations that transact business outside the U.S. Else when the domestic corporations receive the principal income outside the U.S. possessions.
- Indicate the Form whether it is a Short tax year and enable the box with the reason for a short year.
- Provide a tentative total tax. This tax amount is the tax returns due to the business for the particular tax year. Give the total amount of payments and credits that are applicable to the business account and reduce that payment from the provided tentative total tax.
- Give the balance due amount, which can be paid through credit or debit card that you use for your business.
How to File Form 7004?
The IRS has prepared a chart to show the taxpayers where to file the Form 7004.based on the tax return and business location. Find where to file the Form 7004. When you are in need of a tax preparer, you can avail the assistance of Tax2efile to e-file the tax extension application.