What does a US partnership file with the IRS?
Every year, a US partnership files Form 1065, an information return: it reports the partnership's income, expenses and profit to the IRS, along with each partner's share on a Schedule K-1. The partnership itself pays no federal income tax; the profit is taxed at the level of the partners (IRC § 701). If it has foreign partners, it withholds US tax on their share of the profit and pays it over (IRC § 1446). If the fiscal year is the calendar year, Form 1065 is due by March 15 of the following year.
The return is based on the partnership's bookkeeping. The data recorded during the year forms the profit calculation, from which we prepare Form 1065 and the Schedules K-1.
How we prepare your partnership tax return
To get your partnership tax return (Form 1065) started, simply choose the right service through the online booking on our website. You then send us the information from your US partnership, such as invoices and bank statements. We review everything carefully and, if needed, agree the next steps with you. We then prepare the relevant documents and keep you posted on when you can expect them to be finished.
Once everything is prepared, we send you your figures to review and clear up any questions that may have come up. At this stage you can already get a rough idea of how much tax will fall on the partners. If any minor corrections are still needed, we are happy to make them and then ask you to send the documents back to us electronically.
What does the tax return for your US partnership cost?
The fee of $1,500 covers two things: a review of your documents and a binding fixed-price quote for preparing the profit and loss statement and the partnership tax return (Form 1065) for your US partnership. It is payable in advance.
As you can imagine, the work involved depends heavily on how extensive your documents are and how quickly you need them. That means the fee can vary a lot, which is exactly why we only quote a price once we have seen your documents. If you then engage us, we credit the full $1,500 toward the fixed-price quote. If you decide not to, you keep the quote; the fee is not refunded.
We help you get your partnership tax return (Form 1065) done right
With the firm's many years of experience, you have a reliable partner that has successfully prepared and filed profit and loss statements for a great many businesses. That saves you valuable time and work and lets you stay fully focused on your core business. Just book our service now and we will get started right away.
Need advice on other US tax matters for your business? Just get in touch. We are happy to set up a personal consultation with you.
