2023 Tax Deadlines For Chicago Startups

• JAN 31: Send 1099s to Contractors. Send W2s to employees and 1099-MISC for nonemployee compensation must also be e-filed to IRS on this date.
• JAN 31: File Form 8809 for a 30-day extension to file W2s and send 1095-B and 1095-C forms to Employees.
• JAN 31: Claim R&D Tax Credits on Form 941, and file annual Federal Unemployment Tax Act (FUTA) return on Form 940.
• JAN 31: Quarterly Payroll Withholding Report due for Illinois – Quarter 4.
• MAR 1: IRS ACA Compliance 1094-B, 1095-B, 1094-C and 1095-C filings are due (if paper-filing – due March 31 if e-filing). File Form 8809 for a 30-day extension.
• MAR 1: Delaware Annual Franchise Report filing deadline. You must pay a minimum of $400, which increases if you have significant funding. You can estimate this franchise tax using our Delaware Franchise Tax Calculator. 
• MAR 2: IRS 30-day automatic extension: provide Form 1095-B and Form 1095-C to Employees.
• MAR 31: IRS ACA Compliance 1094-B, 1095-B, 1094-C and 1095-C filings are due (e-file).
• MAR 31: 1099s and W2s must be e-filed with the IRS by this due date.
• APR 18: C Corp Form 1120 Tax Return due. The Federal Form 1120 is the U.S. Corporation Income Tax Return, which the IRS has companies use to report their income, losses, credits, etc. and to figure the income tax liability of the corporation. This deadline can be extended to October 16*.
• APR 18: File the Research & Development Tax Credit Form 6765 with your tax return. Can extend to October 16*. We strongly recommend working with a qualified CPA to prepare this form in conjunction with your Form 1120 if you are a high-growth startup – if your company is going to be acquired by a major technology company, that company’s CFO will use a strong tax team to do due diligence on this.
• APR 18: Federal Quarterly Estimated Tax first installment
• APR 18: Due date for making contributions to individual retirement accounts for 2022 (Employee Benefits).
• APR 18: Due date for Illinois Corporate Income Tax Return (can be extended to September 15)
• APR 30: Claim R&D Tax Credits on Form 941.
• MAY 2: Quarterly Payroll Withholding Report due for Illinois – Quarter 1.
• JUN 1: Delaware Quarterly Estimated Franchise Tax. Pay 40% of estimated annual amount (if annual amount expected to exceed $5,000)
• JUN 15: Federal Quarterly Estimated Tax second installment
• JUL 31: Claim R&D Tax Credits on Form 941.
• AUG 1: Quarterly Payroll Withholding Report due for Illinois – Quarter 2.
• SEP 1: Delaware Quarterly Estimated Franchise Tax. Pay 20% of estimated annual amount (if annual amount expected to exceed $5,000).
• SEP 15: Federal Quarterly Estimated Tax third installment
• SEP 15: Extended due date for Illinois Corporate Income Tax Return
• OCT 16: C Corp Form 1120 Tax Return final due date if extension was filed.
• OCT 31: Claim your Research and Development Tax Credits on Form 941.
• OCT 31: Quarterly Payroll Withholding Report due for Illinois – Quarter 3.
• DEC 1: Delaware Quarterly Estimated Franchise Tax. Pay 20% of estimated annual amount (if annual amount expected to exceed $5,000).
• DEC 15: Federal Quarterly Estimated Tax fourth installment.

*Note: When the tax deadline is on weekend or holiday, the deadline is moved to the next business day. The federal tax deadline in 2023 falls on April 18, rather than April 15, which is a Saturday. Monday, April 17, is Emancipation Day, a holiday recognized in the District of Columbia, where the Internal Revenue Service is headquartered. The federal extension deadline for 2023  is October 16, since October 15 falls on a Sunday. Most states usually follow the same calendar for state income tax returns

If your Delaware C-Corp Chicago funded startup needs tax help contact us today!

CHICAGO, STARTUPS AND TAXES

In 2021, Chicago tech companies raised more than $7.9 billion in growth capital, according to Crunchbase,an increase of $1 billion over 2020. As a major center for business and commerce, Chicago offers startups a wide customer base of Fortune 500 and Fortune 1000 companies. The business culture is also diverse – Inc. reports that no single sector drives more than 14% of the local economy, 

The most important taxing authorities for companies based in Boston are: 

• Illinois Department of Revenue 
• Cook County Treasurer’s Office 
• City of Chicago

In 2023, Chicago-based companies have several important tax deadlines, including the April 18th federal and Illinois tax return filings (which can be extended until October 16th). Additionally, Illinois and the federal government have various tax filings due on the dates listed above.