How to file llc taxes in florida
How to File Your Taxes as a LLC Owner in 2023 [Step-by-Step]
Timecodes:
okay how to file your taxes as an llc
owner let's discuss it now in order to
do this we have to break this video down
into two sections because you have the
single member llc and then you have the
multi-member llc and although they are
both limited liability companies or llcs
the tax returns are prepared and filed a
little bit differently and i want to
make sure that you are filing your taxes
correctly in 2022 so today i'll be going
over what tax returns you need to file
as an llc owner what you need to record
and what you need to put in your tax
return how to pay your current and
future taxes and any tips and faqs along
the way so you stay out of trouble with
the irs so if all that sounds good to
you make sure you like this video while
the intro plays
hey there and welcome to our channel i'm
sean with life accounting the accounting
firm that is dedicated to helping you
save on taxes and building more wealth
and also i want to say thank you to
everyone who has been subscribing and
joining our channel we really appreciate
the support and it gives us the positive
reinforcement to continue making youtube
videos alright so step number one what
tax return do you need to file as an llc
owner well as i mentioned it depends on
what type of llc you have let's go over
all three so you have a single member
llc which means you are the sole owner
of your limited liability company and
you have no partners
that means you will need to file your
taxes using forms schedule c and
schedule se and that can be found on the
us 1040 the individual income tax return
now the schedule c portion is used to
report the income and expenses you
incurred as a part of your business
schedule se is also required to be
included with your tax return as a
single member llc because it is used to
calculate your self-employment tax
liability and schedule se stands for
self-employment now i'll break down
exactly what goes on as schedule c in
just a second but before we do let's
talk about the multi-member llc now if
you have a multi-member llc that means
you have at least one other partner in
your business so there are at least two
llc members if that's you then what you
guys need to do is file u.s form 1065
the partnership return of income okay
this form allows you to clearly allocate
the portion of income and losses to each
partner hey sean look i can split my
profits with myself
okay kind of like that now this form
must be filed by the business tax
deadline which is usually march 15th now
there are about three pages on the 1065
forum which covers all your income and
expenses as well
now lastly if you have an llc regardless
of if it is a single member llc or a
multi-member llc and you have elected to
be taxed as an s-corporation which by
the way being taxed as an s-corporation
allows you to eliminate some of the
self-employment tax which is great for
businesses who are making at least
seventy thousand dollars in net income
anyway llcs who have been elected to be
taxed as an s corporation need to file
us form 1120s the income return for s
corporations and this form mainly
ensures that owner employees are paying
themselves a reasonable salary and
calculate the distributions earned from
the company this tax return also must be
filed by the business tax deadline which
is usually march 15th now llc
partnerships in s corporations still
need to file a normal 1040 form for
their individual tax purposes as well
alright so now that you know which tax
forms you need to file let's move into
number two what you need to record on
your tax return now the tax code and the
irs are very simple okay they want to
know who you are and they want to know
what integrity might i add how much
money you made and what percentage of
that should be allocated towards your
taxes and that's the case for every
business regardless of which tax return
you need to file which by the way if you
need professional assistance with tax
planning and tax preparation then
consider working with our team there
will be a link in the description below
where you can sign up for more
information so the next step step number
two for every llc owner is to record
information about you and your business
on your tax return you're gonna need to
record stuff like your business name
your business address your business ein
number your principal business or
profession like what you sell your
principal business code or activity code
your accounting method if you materially
participated in the operations of the
business if you just started or acquired
the business and if you needed to file
any 1099 forms as well as any other
important information about your
business the irs will ask you additional
questions so they know everything there
is to know after that then you can move
into step number three and look at the
next section on the schedule c general
partnership form an 1120s tax form which
is income reporting in this section the
irs wants to figure out what your gross
income was for your business now you may
receive one or multiple 1099
miscellaneous forms or 1099 net forms to
report exactly how much income you made
and if you had a lot of online sales
then you may also receive a 1099k form
to report your income with as well hey
sean look i'm reporting all my income
forms
okay kind of like that now once you have
all your income reported then it's time
to move on to step number three record
your qualified business expenses now
most platforms and companies make it
pretty easy to find out what your gross
income was for the year but expenses
well not so much okay it's up to you to
make sure you are tracking or
bookkeeping all your expenses throughout
the tax year now once you have all your
expenses and transactions categorized
and organized then you can move on to
step number four and start recording
your expenses on your tax return okay
you're going to want to record any asset
purchases that you made throughout the
tax year any direct qualified expenses
you spent money on such as advertising
fees meals employee benefits etc and if
you had cost of goods so you want to
make sure you complete that section as
well as well as any vehicle expenses you
may have incurred as well now once you
have listed all your qualified expenses
or tax deductions or tax write-offs then
you will arrive at your net income which
will determine your total taxable income
what tax bracket you fall into and what
taxes you need to pay if you haven't
already done so and all of that is
calculated pretty quickly when you file
on the 1040 form with a schedule c after
that then you can move into step number
five which is to go ahead and record any
other individual activity on your tax
return and then file your taxes however
if you completed step number four within
a 1065 partnership tax return or an
1120s tax return then step number five
is for you to obtain your k1 document
okay this k1 document is used to
distribute each partnership share of
current income deductions credits and
other special items on their tax return
so basically you need to file your 1065
or your 1120s again by the business tax
deadline which is usually march 15 and
then file your k1 document on your
individual 1040 tax return and if you
are s corporation paying yourself a
reasonable salary then that would
include your w-2 income to be fouled on
your individual tax return as well okay
step number six is to pay your taxes so
if you happen to owe taxes at the end of
the tax year then most tax software will
show you exactly what you owe and even
create a payment plan now the easiest
way to make these payments is to go to
irs.gov backslash payments backslash
direct pay and make a payment if you are
not able to look up your payment yet
then chances are your tax return may
still be processing now going forward if
you expect to owe more than one thousand
dollars in self-employment taxes then
the irs requires you to pay quarterly
estimated tax payments quarterly
estimated tax payments are basically tax
payments made at the end of every
quarter during the year to ensure you
pay your taxes to the irs on time before
you file your return otherwise you could
be hit with an estimated tax penalty but
as long as you pay at least 110 percent
of your prior year's tax the irs cannot
charge any penalties or interest for
underpayment now i know that was a lot
of information but i hope it made sense
if not remember you can work with us on
tax planning and tax preparation
just look for the link somewhere in the
description below now coming up next we
have some more great tax videos tax
write-offs and more so make sure you
check those videos out and i'll see you
over there
Related queries:
how do i file llc taxes in florida
how to file quarterly taxes for llc in florida
does a florida llc file a tax return
do llcs pay taxes in florida
how do i file taxes on an llc
does an llc pay state taxes in florida
