IR-2014-98: Business E-File Jumps 10 Percent This Year; Doubles in 4 Years; 7 in 10 Corporate and Partnership Tax Returns Now Filed Electronically
WASHINGTON — Business e-file rose nearly 10 percent this year, continuing the growth that has seen the number of corporate and partnership returns filed electronically double in just four years, the Internal Revenue Service said today. An additional 600,000 corporations and partnerships e-filed their tax returns this year.
As of Sept. 21, more than 7 million corporations and partnerships e-filed, an increase of almost 10 percent over the prior year’s total, and twice the nearly 3.5 million returns e-filed during the 2010 fiscal year. About 70 percent of all corporate and partnership returns have been e-filed during 2014. Many corporations and partnerships operating on a calendar year receive filing extensions. The extended due date is usually Sept. 15.
Most large corporations and partnerships are required to e-file.
Large and mid-size corporations, generally those with $10 million or more in total assets, are required to electronically file their Forms 1120 or 1120S. Partnerships with more than 100 partners (Schedules K-1) are also required to e-file their tax returns. The IRS is seeing growth in e-filing by these businesses and by businesses not required to e-file.
This year, 92,494 large corporations e-filed their returns, an increase of 8.6 percent compared to the same time last year. The greatest rate of growth in e-filing among these businesses is by large partnerships. This year, 122,879 large partnerships e-filed, up more than 14 percent from the same time the year before.
Tax Returns e-filed by Corporations and Partnerships
| Category of e-filers |
Sept. 22, 2013 |
Sept. 21,2014 |
%Change |
| Large Corporation Tax Returns |
85,180 |
92,494 |
8.59% |
| Other Corporate Returns |
4,007,895 |
4,373,597 |
9.12% |
| Total Corporate Returns |
4,093,075 |
4,466,091 |
9.11% |
| Large Partnership Tax Returns |
107,730 |
122,879 |
14.06% |
| Other Partnership Returns |
2,388,175 |
2,640,319 |
10.56% |
| Total Partnerships |
2,495,905 |
2,763,198 |
10.71% |
| Total Returns |
6,588,980 |
7,229,289 |
9.72% |
Corporations and partnerships can get more information about IRS e-file at IRS.gov.
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HCTT-2014-20: Small Employers Should Check Out the Health Care Tax Credit
New and existing small employers who do not yet benefit from the Small Business Health Care Tax Credit should look into whether the credit can help them provide insurance to their employees.
For tax years beginning in 2014 and after, the maximum credit is 50 percent of premiums paid for small business employers, and 35 percent of premiums paid for tax-exempt small employers, such as charities.
Beginning in 2014, a small employer may qualify for the credit if:
- It has fewer than 25 employees who work full-time, or a combination of full-time and part-time. For example, two half-time employees equal one full-time employee for purposes of the credit.
- It pays premiums on behalf of employees enrolled in a qualified health plan offered through a Small Business Health Options Program Marketplace or qualifies for an exception to this requirement.
- The average annual wages of full-time equivalent employees are less than $51,000. The annual average wages will be adjusted annually for inflation.
- It pays a uniform percentage for all employees that is equal to at least 50 percent of the premium cost of the insurance coverage.
The credit is available to eligible employers for two consecutive taxable years.
A small business employer who did not owe tax during the year can carry the credit back or forward to other tax years. Also, since the amount of the health insurance premium payments is greater than the total credit claimed, eligible small employers can still claim a business expense deduction for premiums in excess of the credit.
For tax-exempt small employers, the credit is refundable. Even if the tax-exempt small employer has no taxable income, it may be eligible to receive the credit as a refund so long as it does not exceed its income tax withholding and Medicare tax liability.
More information
More information about the Small Business Health Options Program Marketplace – better known as the SHOP Marketplace – including the Federally Facilitated Marketplace, is available at HealthCare.gov.
Find out more about the small business health care tax credit at IRS.gov/aca.
Find out more about the health care law at HealthCare.gov.
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