All C-Corporations must file their annual income tax on Form 1120 on or before the deadline. However, if a corporation is unable to file the tax form on time due to any reason, they can file corporate Form 7004 to get an automatic 6-month extension or seven months if the fiscal year ends June 30. No questions asked.
What is Form 7004 for a Corporation?
If your corporation needs more time to file Form 1120 and variants, including Forms1120-PC, 1120-F, 1120-REIT, etc., you can file Form 1120 extension online. This will give you an automatic 6-month extension to file corporate income tax returns. The extension is for 6-months for most corporations. However, exceptions exist. C-corporations with tax years ending June 30 (fiscal year) are eligible for an automatic 7-month extension of time to file.
Please note that extension to file does not mean extension to pay. You still need to pay your tentative tax on time.
When is Form 7004 Due for Corporations?
The IRS Form 7004 deadlines for corporations varies depending on the whether they are using calendar year or fiscal year.
| Type | Original Deadline | Extended Deadline After Filing 7004 |
|---|---|---|
| 1120-S | March 17 | September 15 |
| Calendar Year | April 15 | October 15 |
| Fiscal Year ending June 30 | 15th day of the 3rd month after year end | 7-month extension |
Late Filing Penalty
If you fail to file on time, the late filing penalty for Form 1120 is 5% of the unpaid tax due for each month or part of a month the return is late. It can go up to a maximum of 25% of the unpaid tax plus interest amount.
How to File Form 7004 for C-Corp’s Form 1120 and Variants
In order to file a Form 1120 extension online, you’ll need to learn what information needs to be reported on Form 7004.
1. EIN & Name
Add basic business details including Name, EIN, and address that mirrors the information in Form 1120.
2. Part I-Line 1: Tax Code
Add the specific tax codes that correspond to the type of corporation filling Form 1120 and its variants. (Check table below for specific codes).
3. Part II- Lines 2-4:
Checkboxes to check if your corporation is a:
– Foreign corporation without a U.S. Office
– Parent company of a group of companies
– Meets special qualification under Regulations 1.6081-5
4. Part III- Line 5s & 5b: Tax Year
Mention the beginning and ending of the tax year you are filing the extension for. Plus, a checkbox to indicate if the tax year is less than 12 months.
5. Part III- Lines 6, 7, & 8: Tax Payments
Report the estimated tax owed, aggregated total payments, and the balance due for the tax year.
Form 1120 & Variants Eligible for 7004 Extension
Form 1120 has multiple variants, including one for REITs (1120-REIT), foreign corporations (1120-F), etc. All these variants have their own tax codes and is filed by specific type of entities.
| Tax Form | Who Files It? | 7004 Part I Line 1 Tax Code |
|---|---|---|
| 1120 | C-Corporations | 12 |
| 1120-C | Cooperatives | 34 |
| 1120-F | Foreign Corporations with U.S. sourced income | 15 |
| 1120-H | Homeowner’s association | 28 |
| 1120-L | Life Insurance Companies | 18 |
| 1120-PC | Property & Casualty Insurance Companies | 21 |
| 1120-REIT | Real Estate Investment Trusts | 23 |
| 1120-RIC | Regulated investment companies | 24 |
| 1120-POL | Certain political organizations | 22 |
| 1120-ND | Nuclear Decommissioning Funds | 19 |
| 1120-SF | Settlement Funds | 26 |
| 1120-FSC | Foreign Sales Corporations | 16 |
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State “Piggyback” Rules For Corporate Extensions
State rules for corporate extensions fall roughly into three types of categories: i) states that accept federal extensions, ii) states that require their own corporate extension filing, and iii) states that do not grant automatic extension.
For states that accept or mirror federal extensions, you do not need to file extra forms. The state will automatically accept the federal 7004 extension. Examples include, Indiana, West Virginia, South Carolina, Oregon, Pennsylvania, etc.
There are also a couple of states that require you to file a separate state extension filing. These states do not accept the federal Form 1120 extension online. Examples include Rhode Island, New Jersey, Nebraska, etc.
Paper vs E-File: Choosing How to File Form 7004 For Corporates
E-filing is the recommended filing process and one of the best ways to file corporate tax extension. It offers a faster processing time, is more user-friendly, and is generally more accurate. While the IRS also accepts paper filing of Form 7004, this process requires more manual effort and is slower than e-filing.
| Category | Paper Filing | E-filing with EZExtension |
|---|---|---|
| Speed | 4 to 6 weeks of processing time | Processes the form in less than 24 hours |
| Proof of mail to recipient | USPS mailing receipt | IRS-stamped PDF sent directly to recipient inbox |
| Error Checking | None or Manual | AI-powered automatic error flagging |
| Cost | Printing + postage + mailing costs | Flat fee of $9.99 |
How to EFile with EZExtension in 3 Easy Steps
E-file for an automatic corporate tax extension online with EZExtension.
Step 1: Upload details
Enter business details like EIN, business name, or address by inputting it manually or importing it directly from your system.
Step 2: Review the form and pay taxes (if applicable)
Review the information of the form and use the AI error scan to flag any errors. If you have any tentative tax to be paid, you can pay it via EFW/EFTPS.
Step 3: Submit the form to the IRS to get an automatic extension
Once you fill out Form 7004 online, review the information, and pay the taxes owed, you can transmit the form to the IRS to get your automatic 6-month filing extension.
Why Choose EZExtension?
The best way to file corporate tax extension is by using an IRS-authorized e-filing platform like EZExtension.
- 3-minute filing: File 7004 in minutes for instant 1120 extension service
- AI Error Scan: Automatically review forms and remove any code/name errors.
- Lowest Price: E-file for a flat fee of $9.99 (one time filing) with no hidden fees.
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FAQs
1. How long does a corporate extension last?
Filing a corporate extension gives you an automatic 6 months extension to file corporate tax returns. For corporations with fiscal years ending June 30, the extension is 7 months.
2. Is Form 7004 the same as a corporate tax extension?
Yes, Form 7004 is the application that you use to request an automatic extension of time to file corporate tax returns
3. Who signs a corporate Form 7004?
Form 7004 does not require any signature. A digital authorization may be required but it is usually done by the e-filing platform itself.
4. Does Form 7004 extend my payment?
No, Form 7004 is only used for extending filing deadlines, not for extending payment deadline. You still need to pay any tax owed on or before the due date.
5. Which 1120series returns can I extend?
All corporate tax returns in the 1120 series can be extended using Form 7004. This includes Form 1120, 1120-F, 1120-PC, 1120-REIT, and more.
6. Can I e-file after April 15?
Form 7004 must be filed on or before the original due date of the return (April 15th for calendar-year and 15th day of the 3rd month for corporates following fiscal Year ending June 30).
7. How will I know my 7004 corporate extension has been accepted?
The IRS doesn’t provide any confirmation mail and filing correctly gets you an automatic extension. If you e-file through EZExtension, we will send a PDF confirmation mail as proof of timely filing.
Request an Automatic Extension of Time to File your Corporate Tax Returns with EZExtension.