How to file taxes for an LLC: which form, when and how much you pay

First: how many owners does your LLC have?

For federal tax purposes, the IRS classifies your LLC by its number of owners, unless you have elected otherwise. This is what the regulation says:

“…a domestic eligible entity is— (i) A partnership if it has two or more members; or (ii) Disregarded as an entity separate from its owner if it has a single owner.”

— Treas. Reg. §301.7701-3

• Single-member LLC: the LLC doesn't file its own return. You report the business profit on your 1040, with Schedule C (or Schedule E for rental income, or Schedule F for farming).
• LLC with two or more owners: the LLC files Form 1065 and gives each partner their Schedule K-1. Each partner reports their share on their own 1040.
• If you elect otherwise: with Form 8832 the LLC can be taxed as a corporation, and with Form 2553 as an S-Corp. Form 2553 is generally filed within 2 months and 15 days after the start of the year in which you want it to apply. We explain it in electing to be taxed as an S-Corp.

Sources: IRS — LLC and Publication 3402.

When it's due: 2026 returns

If your business uses the calendar year, the due dates for returns filed in 2027 are:

• Form 1065 (multi-member LLC) and 1120-S (S-Corp): March 15, 2027.
• 1040 with Schedule C (single-member LLC) and 1120 (corporation): April 15, 2027.
• Extension: Form 7004 (for the 1065, 1120-S and 1120) and Form 4868 (for the 1040) generally give 6 more months to file, not to pay. Whatever you owe is paid by the original date.

Watch out with the 1065 and the 1120-S: filing them late carries a penalty of $260 per partner or shareholder for each month or part of a month they are late, up to 12 months, on returns due in 2027 (IRC §6698 and IRC §6699; Rev. Proc. 2025-32), unless there is reasonable cause. Even if the LLC had losses or made no profit, if it had income or expenses the 1065 is filed; the only exception is an LLC that had neither income nor expenses for the entire year.

How much you pay: self-employment tax

In addition to regular income tax, the owner of a single-member LLC pays self-employment tax, which is their contribution to Social Security and Medicare:

• It is 15.3% (12.4% for Social Security and 2.9% for Medicare) on 92.35% of your net profit, if that 92.35% (your net earnings from self-employment) is $400 or more. It is calculated on Schedule SE.
• The Social Security portion applies up to $184,500 of combined wages and self-employment earnings in 2026. Medicare has no cap, and there is an additional 0.9% Medicare tax when your combined wages and self-employment earnings exceed $200,000 ($250,000 if married filing jointly; $125,000 if married filing separately).
• Half of the 15.3% (not of the 0.9%) is deducted from your income on your 1040.

Example (illustrative figures): with a net profit of $50,000, self-employment tax is $50,000 × 92.35% × 15.3% = $7,064.78, before income tax.

In a multi-member LLC, the share of each partner who works in the business generally pays this tax too. If you are a partner who only invests, the law excludes the share of a “limited partner” (IRC §1402), but how that applies to LLC members is not entirely settled: look into it before taking anything for granted.

And some good news: many owners can take the qualified business income (QBI) deduction, of up to 20% of their qualified business income, which is somewhat less than the Schedule C profit (IRC §199A). Starting in 2026 there is also a minimum deduction of $400 for anyone with at least $1,000 of qualified business income from businesses in which they materially participate, under the IRS tests (for example, working more than 500 hours a year in the business). Above certain income levels ($201,750 in 2026, or $403,500 for joint filers) limits apply. Sources: IRS — self-employment tax, SSA — 2026 wage base and IRS — QBI deduction.

Estimated payments: don't wait until April

Since nobody withholds taxes for you, the IRS expects you to pay during the year if you will owe $1,000 or more. For tax year 2026, estimated payments (Form 1040-ES) are due April 15, June 15 and September 15, 2026, and January 15, 2027.

You generally avoid the penalty if you pay at least 90% of this year's tax or 100% of the prior year's tax, whichever is less (there are special rules for higher incomes). Source: IRS — estimated taxes.

What Nevada requires

• There is no state personal income tax: the Nevada Constitution prohibits it, although it does allow taxing business income or activity (Article 10, Section 1). Your LLC pays the state two annual fees (the annual list and the business license) and, depending on the case, two taxes: the Modified Business Tax and the Commerce Tax.
• Annual list: $150, due no later than the last day of your LLC's anniversary month (NRS 86.263).
• State business license: $200 a year for an LLC, with a $100 penalty if paid late. It is paid together with the annual list (NRS 76.130; Nevada Secretary of State).
• If you have employees: the Modified Business Tax is, for most businesses, 1.17% of wages above $50,000 per quarter, and every employer files the return even if it owes nothing (Department of Taxation).
• Commerce Tax: only if your Nevada gross revenue exceeds $4 million in the fiscal year (Department of Taxation).
• If you sell products: sales tax applies to you. We explain it in guide 1.

Two questions we hear a lot

• Do I need an EIN? A multi-member LLC, yes. A single-member LLC needs one if it has employees, if it owes excise taxes or if it elected to be taxed as a corporation or S-Corp; otherwise, for income tax it can use your Social Security number. The EIN is free at irs.gov: never pay for one.
• Do I have to file the beneficial ownership information (BOI) report? If your LLC was formed in the United States, no. A FinCEN final rule, effective August 14, 2026, permanently exempted U.S. companies (FinCEN). If your LLC is a U.S. company, be wary of anyone who tells you that you have to file it or charges you to do so.

The mistakes that cost the most

We help you organize your books and prepare your LLC's returns. What this guide explains is general: every business is reviewed with its own numbers.

Frequently asked questions

How do you do taxes for an LLC?

It depends on how many owners it has. If you are the only owner, you report the business profit on your 1040 with Schedule C, and the LLC doesn't file its own return. If there are two or more owners, the LLC files Form 1065 and gives a K-1 to each partner, who reports it on their 1040. If the LLC elected to be taxed as an S-Corp or a corporation, it files the 1120-S or the 1120.

How much tax does an LLC pay?

A single-member LLC doesn't pay its own federal income tax: the owner pays income tax on their 1040 and self-employment tax, at 15.3% on 92.35% of net profit. Many owners can take the QBI deduction, of up to 20%. In Nevada there is no state personal income tax.

Does my LLC have to file its own return?

If it has a single owner and didn't elect another classification, no: all the income tax goes on the owner's 1040 (if it has employees, the LLC does file payroll tax returns). If it has two or more owners, yes: it files Form 1065 even if it had losses, as long as it had income or expenses during the year.

When is an LLC's tax return due?

For tax year 2026, Form 1065 for a multi-member LLC and Form 1120-S for an S-Corp are due March 15, 2027. The 1040 with Schedule C for a single-member LLC is due April 15, 2027. Form 7004 or Form 4868 gives you 6 more months to file, not to pay.

Do I have to file a BOI report for my LLC?

If your LLC was formed in the United States, no. Since August 14, 2026, a FinCEN final rule permanently exempts U.S. companies. Only certain companies formed abroad that register to do business in the country file it.

Sources

✓ Legal basis verified

Treas. Reg. §301.7701-3 (default classification); IRS: “LLC” page, Publication 3402, instructions for Forms 1065, 1120, 1120-S and 7004, Publication 505 (2026 estimated taxes), self-employment tax and QBI deduction pages; IRC §6698, IRC §6699, IRC §1402 and IRC §199A (Pub. L. 119-21, sec. 70105); Rev. Proc. 2025-32 ($260 penalty and 2026 QBI thresholds); SSA (2026 wage base: $184,500); FinCEN (BOI final rule, effective August 14, 2026); Nevada Constitution, Art. 10 §1; NRS 86.263; Nevada Secretary of State (business license); Nevada Department of Taxation (MBT and Commerce Tax). Consulted on October 3, 2026.

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