Corporate tax returns are documents filed by a corporation with the IRS that detail the company’s income, expenses, and profits or losses for a given tax year. The return is used to calculate the amount of taxes owed by the corporation.
Why You Need an Accountant to Prepare Your Corporate Tax Return
While a corporation can prepare its tax return, it is generally advisable to hire an accountant or other tax professional. This is because the corporate tax code is complex and ever-changing, and mistakes on your return could result in significant penalties from the IRS. An accountant can ensure that your return is filed correctly and that you claim all of the deductions and credits you are entitled to. One of the most important services an accountant can provide is helping you to estimate your tax liability for the year so that you can make appropriate quarterly tax payments. This can help you avoid underpayment penalties and interest charges.