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U.S. Income Tax Frequently
Asked Questions
Filing Requirements
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Which tax returns do I have to file?
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Filing requirements for LLC (Limited
Liability Company)
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Filing Requirements for Multi-member LLC
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Filing requirements for S Corporations
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Filing requirements for C Corporation
U.S. Tax Brackets and Tax Rates
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What are the U.S. federal income tax rates for 2010?
Preparing Your Tax Return
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How does preparing my taxes work?
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Should I e-file my Tax Return?
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Is your service
available in all 50 states?
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Why are your fees
more competitive?
IRS or State Audit
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You offer unique
and complete tax service. What does it
include?
Tax Guides
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LLC Tax Guide
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S. Corporation Tax Guide
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C. Corporation Tax Guide
Which tax returns do I have to file?
If you are an individual, you will have
to file wither a U.S. individual tax return (form 1040)
or Non-Resident tax return (form 1040NR). For a
business, Each entity type has its own filing
requirements. Normally business return must be filed by
March 15 of each year for the previous tax year, unless
you file for extension and then you can file by October,
15 of each year for the previous year. Below you will
find specific filing requirements for each legal
structure.
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Filing requirements for LLC (Limited Liability Company)
The Internal Revenue Code does not
recognize an LLC as a classification for federal tax
purposes. An LLC business entity must file as a
corporation, partnership or sole proprietorship tax
return. The code treats LLCs by default as a
pass-through entity, meaning the LLC does not pay taxes
on the net income they generate; instead they pass the
taxable income through to its members who then pay the
applicable federal and state taxes on their share of the
LLC’s taxable income. LLC can be either multi-member
(with two or more members) or a single member LLC
(SMLLC) A multi-member LLC can be either a partnership
or a corporation, including an S corporation. To be
treated as a corporation, an LLC has to file
Form
8832, Entity Classification Election (PDF), and
elect to be taxed as a corporation. A multi-member LLC
that does not so elect will be classified by federal law
as a partnership.
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Filing Requirements for Multi-member LLC
A must file Multi-member LLC
form
1165 to report its gross income and all deductible
expenses and provide
form K1 to each of its member to report the member's
share of the LLC taxable income or loss. The LLC must
also report its balance sheet including cash balance,
receivables, inventories, fixed and other assets,
accounts payables, all other current and long term
liabilities and its equity.
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Filing
requirements for S Corporations
S Corporations benefits from a special
tax efficient treatment given to it by Internal Revenue
Service (IRS) code. A corporation can eliminate the
disadvantage of double taxation of general corporate
profits and shareholder dividends by obtaining S
Corporation status with the IRS. Shareholders then
report their portion of the S. Corporation's taxable
income on their personal tax returns. To elect S.
Corporation status a general corporation or LLC must
file
form 2553 in a timely manner signed by all
shareholders of the corporation. S. Corporation must
file
form 1120S to report its gross income and all
deductible expenses and provide
form K1 to each of its member to report the member's
share of the LLC taxable income or loss. The S.
Corporation must also report its balance sheet including
cash balance, receivables, inventories, fixed and other
assets, accounts payables, all other current and long
term liabilities and its equity.
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Filing requirements for C Corporation
C Corporation is a separate legal
structure from its shareholders and shields personal
assets of those shareholders from judgments against the
business. The Internal Revenue Service (IRS) refers to
general corporations as "C" Corporations. General
Corporations are taxed on their profits using the IRS
corporate tax rates and additionally any dividend paid
to the shareholders is taxable by them. This tax
structure also known as "double taxation." C.
Corporation must file
form
1120 to report its gross income, deductible expenses
and net income or loss. The corporation must also report
its balance sheet including cash balance, receivables,
inventories, fixed and other assets, accounts payables,
all other current and long term liabilities and its
equity.
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What are the U.S. federal income tax rates for 2010?
The rates start
with 10% and go up to 35%. Your filing status (Single,
Married, Married filing Separate Return, Head of
Household and Qualified Widower) will determine the set
of tax brackets that applies to you. For detailed lists
of tax brackets please
click here
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How does
preparing my taxes work?
Tax Usa unique tax
preparation process eliminates your tax hassles by
having a tax professional prepare your U.S. tax return
for you. This is not software - an real tax professional
will discuss your tax situation with you and prepare
your return for you on-line all from the convenience of
your home or office. We offer Electronic Filing option
with which you can receive your actual refund in your
bank account in as little as 8 days.
Start now by completing
our simple interview form which minutes (100% secured)
and your dedicated Tax Usa professional will do the
rest.
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Should I
e-file my Tax Return?
hen you choose to E-FILE your tax
return, you electronically submit it through a network
of Electronic Return Originators (EROs) approved by the
Internal Revenue Service. Electronic filing provides the
fastest and most dependable way of filing, whether you
are due a refund or have a balance due. Usually within
48 hours, your return is accepted and you receive a
written confirmation of that, relayed via your ERO. Tax
Usa Inc., is an authorized E-file provider and allowed
by the IRS (Internal Revenue Service) to e-file our
clients tax returns. The ERO must provide the taxpayers
with a Form 8879 - Declaration for Electronic Filing,
which must be signed before the return is transmitted to
the Internal Revenue Service. If you owe taxes and
choose to e-file your tax return, you can pay the
balance as follows: 1. By check. The ERO will give you
Form 1040V, which you mail in with your check by the tax
deadline. 2. By direct debit. You can request that the
funds be electronically debited to your checking account
on the tax deadline, or any earlier day you choose. Your
account information must be part of your tax filing. 3.
You can arrange for credit card payment via the IRS
credit card payment system, which will charge a fee for
that service. Call 1-888-2PAYTAX for information.
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Is your service available in all 50
states?
Yes. As we
work with our clients online, on the
phone, by fax and face-to-face, we are
accessible to clients anywhere in the US
and actually anywhere in the world.
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Why are your fees more competitive?
Because we use state-of-the-art
technology, we are extremely efficient
and it allows us to "pay it forward" by
providing our clients high-quality
service with fair pricing.
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You offer unique and complete tax
service. What does it include?
We do offer unique and complete
Tax Professional
Prepared Return
service. With this option you will
maximize your tax refund, and get the
following free:
▪
Maximum
refund warranty -
Under the terms of this
plan, If, due to Tax USA
Inc.'s error or
miscalculation on your
return, you are entitled to
a larger refund than we have
calculated, we shall refund
your tax preparation fee for
that return, in full. Refund
claims must be made during
the calendar year which
follows the tax year.
Audit Shield
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Your ultimate
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IRS tax audits are triggered
by errors, omissions,
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you and defend your IRS and/or state tax return. Audit
Shield covers all Fees to defend your tax return with
the IRS or with state tax authorities on your behalf.
How It Works:
After your tax return is
completes you will be
offered the option of adding
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your return.
Should you choose the Audit
Shield Service Plan option,
you will be provided with a
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Mind.
If you receive a notice from
the IRS or are audited, Tax
USA Inc. will provide you
with an Enrolled Agent to
represent you. You must
notify Tax USA Inc. within
30 days of receipt of that
notification. See our
contact us page.
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