Form 7004: extending a business return

Which returns does Form 7004 extend?

Most business income tax and information returns, including Form 1065 for partnerships, Form 1120 for C corporations, Form 1120-S for S corporations, Form 1041 for trusts and estates, and Form 1042. It also extends the pro forma Form 1120 that a foreign-owned single-member LLC files with Form 5472. Individuals, including sole proprietors filing Schedule C, use Form 4868 instead.

What are the extended due dates?

How do you complete it?

1. Name, EIN and address

   Enter them exactly as the IRS has them. If the name or number does not match IRS records, the extension is not valid.

2. Line 1: the form code

   09 for Form 1065, 12 for Form 1120, 25 for Form 1120-S. File a separate Form 7004 for each return.

3. Line 2

   Tick if the business has no office or place of business in the US and is a foreign corporation filing Form 1120-F. Most domestic businesses leave it blank.

4. Line 5: the tax year

   Calendar year, or the fiscal year dates, and any short-year reason.

5. Lines 6 to 8: tax and payment

   The total tax expected for the year, the payments already made, and the balance due. Partnerships and most S corporations enter zero.

Form 7004 does not need a signature.

How is it filed?

Electronically through tax software or a tax professional, or by mail to the IRS address in the instructions, which depends on the form and the business's location and assets. File by the original due date of the return. An extension filed one day late is not valid, and the return is late from the original date.

What about foreign-owned single-member LLCs?

A foreign-owned US disregarded entity enters the Form 1120 code, writes "Foreign-owned U.S. DE" across the top, and faxes or mails Form 7004 to the dedicated fax number or Ogden address used for its Form 5472, not the address in the Form 7004 instructions. See pro forma Form 1120.

Why doesn't it extend the time to pay?

Because the law extends only the filing date. A C corporation that owes tax must estimate and pay it by the original due date, or interest and the late payment penalty run from that date. Partnerships and S corporations usually owe no tax themselves, so for them the extension mainly protects against the per-owner late filing penalty. See late filing and late payment penalties.

Does it extend the owners' returns?

No. Partners and shareholders extend their own personal returns separately with Form 4868, and still pay their estimated tax by April 15. An extended partnership or S corporation can issue K-1s as late as September 15, so owners of extended businesses often need to extend too.

This guide is general information. It is not tax or legal advice for your situation.