Corporation Tax Preparation – Form 1120 Service

Description

Your corporate status is a tax shield. Don’t let a filing error turn it into a target.

That “Inc.” or “Corp” after your business name gets you liability protection and tax advantages. It also gets you extra IRS attention.

S-Corps and C-Corps play by different rules, and the IRS knows exactly how each one tries to game the system.

Form 1120-S (S-Corporation)

Due March 15. The whole point of an S-Corp is pass-through taxation so you avoid self-employment taxes. But the IRS watches S-Corps like hawks for one thing: reasonable compensation. If you’re pulling distributions without paying yourself a real salary, you’re asking for an audit. File late and you’re looking at roughly $220 per shareholder, per month.

Form 1120 (C-Corporation)

Due April 15. The corporation pays its own taxes, which sounds clean until you remember dividends get taxed again when shareholders receive them. Without careful planning around deductions and timing, C-Corps just bleed money.

Where this goes wrong

Corporate returns require your Balance Sheet (Schedule L) to match your books exactly. Not close. Exactly.

For S-Corps, the worst-case scenario is losing your S-election entirely. Miss a filing, have the wrong type of shareholder, or violate some other rule you didn’t know about? The IRS can force you back to C-Corp status. Now you owe years of back taxes at the corporate rate.

For any corporation, states charge Franchise Taxes or Annual Report fees. Miss those, and the state dissolves your corporation. That means your corporate veil disappears. If someone sues you while you’re dissolved, your house, car, and savings are all fair game.

What This Service Does:

The tax professionals working with Digital Ascension Group will handle corporate tax filings so your Balance Sheet balances, your elections stay valid, and your returns hit the IRS before the deadline.

For S-Corps, they prepare Form 1120-S with audit defense in mind, reconcile your Book Income to Tax Income on Schedule M-1 and make sure shareholder distributions match stock basis, generate accurate K-1s for all shareholders so the pass-through income shows up correctly on personal returns.

For C-Corps, they handle Form 1120 including Net Operating Loss carryovers, dividend reporting, and corporate deductions that actually move the needle on your effective tax rate.

They also cover state corporate income tax returns based on where you have nexus (sales, property, or employees). And they will e-file everything, which matters for S-Corps where proving you met the March 15 deadline can save you thousands in penalties.

Deadlines:

S-Corps (1120-S): March 16, 2026

C-Corps (1120): April 15, 2026