Annual Planning Guide
Annual Business Tax Planning Timeline
Tax planning is not a once-a-year event. This guide describes what to review and when — across five phases of the annual business tax cycle.
This timeline uses general timing references rather than specific calendar dates, which can change based on IRS announcements, weekends, and holidays. Confirm current deadlines with your tax professional each year.
Early Year
January – FebruaryReview prior year results
Compare actual income and expenses to expectations. Identify what changed and why.
Confirm estimated tax payment schedule
Set up or adjust quarterly payment amounts based on current-year projections.
Review entity structure
Confirm that your current entity type still makes sense given your income level and plans.
Gather prior year tax documents
W-2s, 1099s, K-1s, and other income documents typically arrive in January and February.
Q1 Review
March – AprilFile or extend prior year return
The April deadline applies to most individual and business returns. Extensions are available but do not extend the time to pay.
Review Q1 income and expenses
Compare actual Q1 results to your projections. Adjust estimated payments if needed.
Make Q1 estimated tax payment
Due in April for most taxpayers. Calculate based on current-year income, not just last year.
Confirm bookkeeping is current
Books should be reconciled through Q1 before the payment deadline.
Midyear
May – AugustReview year-to-date performance
By midyear, you have enough data to project the full year with reasonable accuracy.
Identify major changes
New revenue streams, significant expenses, hiring, or business changes that affect taxes.
Make Q2 and Q3 estimated payments
Q2 is due in June; Q3 is due in September. Recalculate before each payment.
Consider timing of major purchases
Large equipment or asset purchases may have tax implications. Timing matters.
Year-End Planning
September – DecemberProject full-year tax liability
With Q3 results in hand, you can project the full year with high accuracy.
Identify year-end planning opportunities
Accelerating deductions, deferring income, retirement contributions, and other timing decisions.
Review estimated payments for accuracy
Ensure total payments will cover the liability or meet safe harbor requirements.
Confirm books are current through Q3
Year-end planning requires accurate, current financial data.
Make Q4 estimated payment
Due in January of the following year. Final opportunity to adjust before year-end.
Tax Preparation
January – April (following year)Finalize and close the books
Books should be fully reconciled and closed before tax preparation begins.
Gather all tax documents
Income documents, expense records, asset purchase records, and prior year return.
Review with your CPA
Discuss the year, confirm all deductions are supported, and review the return before filing.
File or extend
File by the deadline or request an extension. Pay any balance due by the original deadline.
Year-round tax planning starts with a conversation.
This timeline describes what should happen. A consultation with Gurmeet Singh, CPA can help you identify where your current process has gaps.