What is Form 1120?
Form 1120 is the income tax return C corporations file to report income, deductions and credits and to pay the flat 21% federal corporate tax.
The 1120 actually calculates and pays tax, unlike the pass-through returns — a flat 21% on the corporation's taxable profit. Because owner salaries and benefits are deductible before that 21% applies, a lot of tax planning for C corps is about the mix of salary versus retained profit versus dividends.
Who files it
C corporations, including LLCs that elected corporate taxation.
When it's due
Form 1120 is generally due April 15 (calendar-year C corps). Deadlines can move for weekends and holidays, so confirm the exact date for the current year on IRS.gov.
Key lines and parts
Here's what you'll actually fill in on Form 1120:
- Income and cost of goods sold
- Deductions (salaries, rent, depreciation)
- Taxable income and 21% tax
- Schedule K — other information
How to file
File by the 15th day of the fourth month after year-end. Attach supporting schedules for cost of goods sold, dividends and more.