HOW ARE TAXES PAID FOR A BUSINESS THAT IS A GENERAL PARTNERSHIP?

I have the brand new commercial operation which is set up as the ubiquitous partnership with myself as well as a single alternative individual. How do you inform the income the commercial operation is generating? Do you any explain half upon the particular filings?

{ 3 comments… read them below or add one }

tscgmc August 14, 2010 at 10:47 am

A 1065 partnership tax return should be filed and each partner will get a sch K-1 from the partnership. The sch K-1 will break down the partnership’s income or loss that is reportable by that partner on his or her personal 1040 tax return.

southron2002 August 14, 2010 at 10:55 am

quarterly

MukatA August 14, 2010 at 11:05 am

When you have a partnership, the partnership files Form 1065 and does not pay any taxes. The profit of a partnership is distributed among the partners, and is reported on Schedule K-1.
Partners must include this profit in their own income and on this income pay 15.3% employment taxes.

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