Form 7004: Business Tax Extension

Who Can File Form 7004?

Most businesses can use Form 7004 to request an extension of time to file various tax returns. This
may include:

• C Corporations: Businesses structured as separate legal entities from their owners with double taxation, where both corporate profits and shareholder dividends are taxed. They must
  file Form 1120 to report income, deductions, and tax liability. Form 7004 allows a six-month extension to file this return.
• S Corporations: A special type of corporation that allows income, losses, deductions, and credits to pass through to shareholders for tax purposes. They are required to file Form 1120-S and can use Form 7004 to request an extension, though this does not extend the deadline for issuing Schedule K-1s to shareholders.
• Partnerships: A business structure where two or more individuals share ownership and the profits or losses. They must file Form 1065 to report income and distributions. Form 7004 extends the 1065 filing deadline but not the due date for providing K-1s to partners.
• LLCs: A Limited Liability Company (LLC) that has more than one owner (member) and offers liability protection. Single-member LLCs taxed as corporations and multi-member LLCs taxed as partnerships or corporations must file the corresponding tax form (1120, 1120-S, or 1065). If taxed as a corporation or partnership, the LLC can use Form 7004 to request an extension.
• Certain estates and trusts: Legal entities created to manage assets for beneficiaries, which may be required to file income tax returns. These entities are required to file Form 1041 and can request an extension using Form 7004.

Which Business Tax Return Deadlines Do the Form 7004 Extend?

Form 7004 requests an automatic extension of time to file various business income tax, information, and other returns. Here are the key forms that can be extended using Form 7004:

• Form 706-GS (D), Generation-Skipping Transfer Tax Return for Distributions
• Form 706-GS (T), Generation-Skipping Transfer Tax Return for Terminations
• Form 1041, U.S. Income Tax Return for Estates and Trusts
• Form 1041-N, U.S. Income Tax Return for Electing Alaska Native Settlement Trusts
• Form 1041-QFT, U.S. Income Tax Return for Qualified Funeral Trusts
• Form 1042, Annual Withholding Tax Return for U.S. Source Income of Foreign Persons
• Form 1065, U.S. Return of Partnership Income
• Form 1066, U.S. Real Estate Mortgage Investment Conduit (REMIC) Income Tax Return
• Form 1120, U.S. Corporation Income Tax Return
• Form 1120-C, U.S. Income Tax Return for Cooperative Associations
• Form 1120-F, U.S. Income Tax Return of a Foreign Corporation
• Form 1120-FSC, U.S. Income Tax Return of a Foreign Sales Corporation
• Form 1120-H, U.S. Income Tax Return for Homeowners Associations
• Form 1120-L, U.S. Life Insurance Company Income Tax Return
• Form 1120-ND, Return for Nuclear Decommissioning Funds and Certain Related Persons
• Form 1120-PC, U.S. Property and Casualty Insurance Company Income Tax Return
• Form 1120-POL, U.S. Income Tax Return for Certain Political Organizations
• Form 1120-REIT, U.S. Income Tax Return for Real Estate Investment Trusts
• Form 1120-RIC, U.S. Income Tax Return for Regulated Investment Companies
• Form 1120S, U.S. Income Tax Return for an S Corporation
• Form 1120-SF, U.S. Income Tax Return for Settlement Funds (Under Section 468B)
• Form 3520-A, Annual Information Return of Foreign Trust With a U.S. Owner
• Form 8612, Return of Excise Tax on Undistributed Income of Real Estate Investment Trusts
• Form 8613, Return of Excise Tax on Undistributed Income of Regulated Investment Companies
• Form 8725, Excise Tax on Greenmail
• Form 8804, Annual Return for Partnership Withholding Tax (Section 1446)
• Form 8831, Excise Taxes on Excess Inclusions of REMIC Residual Interests
• Form 8876, Excise Tax on Structured Settlement Factoring Transactions
• Form 8924, Excise Tax on Certain Transfers of Qualifying Geothermal or Mineral Interests
• Form 8928, Return of Certain Excise Taxes Under Chapter 43 of the Internal Revenue Code

What Information is Required to File Form 7004?

To file Form 7004, you must provide key details about your business or entity. Here’s what you’ll need:

• Legal Name: Enter the exact name of the business or entity as registered with the IRS.
• Mailing Address: Provide the current address where correspondence should be sent.
• Employer Identification Number (EIN): Include the EIN assigned to the business or entity.
• Form Code: Indicate the code for the tax return you’re requesting an extension for, as listed in the IRS instructions.
• Tax Year: Specify whether the entity follows a calendar year or a fiscal year, and enter the beginning and ending dates if using a fiscal year.

When is the Due Date to File Form 7004?

• Form 7004 deadline is the same as the original deadline for the business tax return for which the extension is required.
• If the due date falls on a Saturday, Sunday, or a federal holiday, the next business day will be the due date.
• For example, if your business needs to file an extension for Form 1065 or 1120-S for the current tax year, the deadline is March 17, 2025.

Click here to learn more about the deadline for the specific extension forms.

What are the Penalties for Late Filing of Form 7004?

The penalties for late filing of Form 7004 can vary depending on whether the issue is related to late filing or late payment of taxes.

• Late filing penalties: Generally, a penalty will be imposed if you file the return after the due date, including extensions, and you can’t demonstrate reasonable cause.
• Late Payment Penalty: If you don’t pay your tax due by the deadline, a penalty of 0.5% per month or part of a month on the unpaid tax amount is charged. This penalty can accumulate up to a maximum of 25% of the unpaid tax. However, if you can show reasonable cause for the delay in payment, this penalty may be waived.

How to File Form 7004?

You can file your extension Form 7004 either by paper or electronically. However, the IRS recommends e-filing for a faster and more efficient process. If you opt to file on paper, you must complete the form with all the required information and mail it to the appropriate IRS address.

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