Frequently Asked Questions: When are Quarterly Taxes Due in Los Angeles?
In the United States, businesses must pay their taxes quarterly2 min read
In the United States, businesses must pay their taxes quarterly. In Los Angeles, the filing due date for individuals and companies remain the same, but the deadlines often vary, depending on the business’s activity, size and location. If you own a business in Los Angeles, it is important that you understand when you must pay your taxes each quarter in order to avoid any late payments or penalties.
The following guide provides information on common questions related to quarterly taxes, including details on filing deadlines and strategies to help you ensure you meet those deadlines.
What is the Quarterly Tax Filing Deadline in Los Angeles?
In Los Angeles, the quarterly tax filing deadline is determined by the date in which the business first became liable for tax; this will depend on the business type.
Limited liability companies (LLCs) and corporations must pay taxes quarterly on the 15th of the month that follows the end of each quarter. For example, the 15th of April will be the quarterly tax filing deadline for taxes incurred between January and March.
Meanwhile, the quarterly tax filing deadline for sole proprietors and independent contractors is the same deadline as individual taxes—April 15th (or the following Monday if the 15th falls on a weekend).
Additionally, businesses must also pay estimated taxes four times a year on the 15th of April, June, September and January.
What Are the Penalties for Late Quarterly Tax Payments?
The IRS assesses a late payment penalty for each quarter you fail to pay your taxes on time. This penalty is imposed on any unpaid taxes and is equal to one-half of one-percent (0.5%) of the unpaid taxes for each month (or part of the month) the taxes remain unpaid, up to a maximum of 25%.
Additionally, interest is assessed on any unpaid or late taxes. The interest rate is typically higher than the standard bank interest rate and is adjusted quarterly by the IRS.
Strategies to Ensure You Meet the Quarterly Tax Filing Deadline
To avoid penalties and ensure you pay your taxes on time, it is important to begin preparing for the quarterly tax filing deadline months in advance. This allows you to anticipate the taxes you owe and make advance payments if possible.
It is also important to start tracking your income and expenses early on in the quarter. This can help you determine if you need to make estimated payments or adjust your withholdings. Additionally, you can use various tax software and services like TurboTax to track and file both quarterly and estimated taxes quickly and accurately.
Finally, you can also use a tax attorney or CPA to help calculate the amount of taxes you owe and to make sure you understand your quarterly tax filing obligations, including any specific deadlines related to your business.
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