USA tax guide · 2026 tax year1 MONTH FREEDon’t like it? Don’t pay.

US Tax Guide 2026: Rates, Deadlines and Rules for Small Businesses

Every number a US business owner needs this year on one page: federal tax brackets, business entity rules, filing deadlines, limits and penalties.

Start Your Free MonthChat on WhatsApp
  • Updated for 2026
  • IRS figures
  • Plain English
2026 federal income tax bracketsSingle
10% · up to $12,40010%
12% · $12,401 – $50,40012%
22% · $50,401 – $105,70022%
24% · $105,701 – $201,77524%
32% · $201,776 – $256,22532%
35% · $256,226 – $640,60035%
37% · over $640,60037%

Taxable income after deductions. Married filing jointly brackets are shown further down. Source: IRS 2026 inflation adjustments.

$16,100
Standard deduction
Single filers. $32,200 married filing jointly
21%
C corporation tax
Flat federal rate on company profit
15.3%
Self-employment tax
On 92.35% of net profit, Social Security part up to $184,500
$2,000
New 1099-NEC threshold
For contractor payments made in 2026 (was $600)
1month
free
Risk-free start

Try us free for a month. Don’t like it? Don’t pay.

Month 1We do your accounting. You pay $0 / £0.
Happy?You pay only from month 2, at the fixed fee we agreed.
Not happy?Walk away. No charge, and you keep all your records.

Offer for new clients on monthly accounting and bookkeeping plans. Payment starts after your first month. Government and filing fees are not included.

Claim Your Free Month
On this page

Jump to what you need

Tax bracketsBusiness structuresDeadlinesKey limitsPenaltiesChecklist
Income tax

2026 federal tax brackets

Each rate applies only to the income inside its band, not to all of your income.

RateSingleMarried filing jointly
10%$0 – $12,400$0 – $24,800
12%$12,401 – $50,400$24,801 – $100,800
22%$50,401 – $105,700$100,801 – $211,400
24%$105,701 – $201,775$211,401 – $403,550
32%$201,776 – $256,225$403,551 – $512,450
35%$256,226 – $640,600$512,451 – $768,700
37%Over $640,600Over $768,700
Standard deduction$16,100$32,200 (head of household $24,150)
Business structures

How each type of business is taxed

The structure you choose decides which return you file, when it is due and how much self-employment tax you pay.

Sole prop / single-member LLCPartnership / multi-member LLCS corporationC corporation
Tax returnSchedule C (Form 1040)Form 1065 + K-1sForm 1120-S + K-1sForm 1120
Due date (calendar year)April 15March 15March 15April 15
Who pays income taxOwnerPartnersShareholdersThe company (21%)
Self-employment taxOn all profitOn partners’ shareOnly on salary (as payroll tax)On salary only
20% QBI deduction✓✓✓✕
Best forGetting startedTwo or more ownersProfit above about $60,000Raising investment
Deadlines

Key federal dates for the 2026 tax year

Most are filed in 2027. When a date falls on a weekend or holiday, it moves to the next business day.

15Jan 2027

Q4 estimated tax payment

Final 2026 estimated payment for individuals and sole traders.

31Jan 2027

W-2s, 1099-NEC, Forms 941 and 940

Give employees and contractors their forms and file them with the IRS/SSA. File Q4 payroll returns.

15Mar 2027

Partnership and S corp returns

Forms 1065 and 1120-S due, and K-1s to owners. Extension to September 15.

15Apr 2027

Personal and C corp returns

Form 1040, Form 1120, FBAR and Q1 2027 estimated tax. Extension to October 15 (FBAR extends automatically).

15Jun 2027

Q2 estimated tax payment

Also the automatic filing date for US citizens living abroad.

15Sep 2027

Q3 estimate and extended 1065 / 1120-S

Last day for extended partnership and S corp returns.

15Oct 2027

Extended 1040 and 1120

Last day for extended personal and C corp returns.

2026 numbers

Key limits and allowances

Section 179 expensing

Write off equipment in the year you buy it. Phase-out starts at $4.09 million.

$2.56Mlimit

Bonus depreciation

100% first-year write-off restored permanently for qualifying property.

100%first year

QBI deduction

Pass-through owners can deduct up to 20% of qualified business income.

20%deduction

Business mileage

Standard IRS rate per business mile driven in 2026.

72.5¢per mile

Retirement savings

401(k) employee limit; IRA limit is $7,500.

$24,500401(k)

Health savings account

HSA limit for family cover ($4,400 self-only).

$8,750family

SALT deduction cap

State and local tax you can itemise (reduced at high incomes).

$40,400cap

Child tax credit

Per qualifying child under 17.

$2,200per child

Estate & gift tax

Lifetime exemption per person; annual gift exclusion $19,000.

$15Mexemption
Penalties

What getting it wrong costs

Late filing on $10,000 of tax owedIRS
1 month late$500
3 months late$1,500
5+ months late$2,500

Combined failure-to-file and failure-to-pay penalties: 5% a month, up to 25%. Interest is extra.

Late payroll tax deposit of $20,000IRS
1–5 days late (2%)$400
6–15 days late (5%)$1,000
16+ days late (10%)$2,000
After an IRS notice (15%)$3,000

Failure-to-deposit penalty under IRC §6656.

Checklist

10 rules that keep US businesses out of trouble

  • Keep a separate business bank account and card
  • Keep receipts and records for at least 3 years (6–7 for some items)
  • Pay quarterly estimated tax if you expect to owe $1,000 or more
  • Collect a Form W-9 before paying any contractor
  • Issue 1099-NEC to contractors paid $2,000 or more in 2026
  • Pay S corp owners a reasonable salary through payroll
  • Check sales tax nexus in every state you sell into
  • File your state annual report to keep your LLC in good standing
  • Foreign-owned LLCs: file Form 5472 every year ($25,000 penalty if missed)
  • Report foreign accounts over $10,000 on an FBAR
Please note: This guide is general information for the 2026 tax year, based on IRS published figures. It is not tax advice for your situation. Book a free call and we will check what applies to you.
How it works

Switching to Tax Expert takes 4 simple steps

No disruption. We contact your old accountant and handle the handover.

Day 1

Free consultation

A 30-minute call about your business, your filings and your deadlines.

Day 2–3

Fixed-fee proposal

A clear monthly price, and your first month is free. No hourly billing.

Week 1–2

We take over

We collect records, connect your bank feeds and catch up any backlog.

Month 2

Pay only if you’re happy

Like the work? Your fee starts now. Not happy? Leave and pay nothing.

FAQ

US tax questions

Is the first month really free?

Yes. New clients on a monthly accounting or bookkeeping plan pay nothing for the first month. If you are not happy, you can leave without paying. If you stay, payment starts from month 2 at the fixed fee we agreed. Government and filing fees are not included.

When is the 2026 tax return due?

Personal returns (Form 1040) and C corporation returns are due April 15, 2027. Partnerships and S corporations file by March 15, 2027. Extensions give six more months to file, but not to pay.

Do I need to pay estimated taxes?

Yes, if you expect to owe at least $1,000 when you file, for example because you are self-employed. Payments are due April 15, June 15, September 15 and January 15.

What is the self-employment tax rate?

15.3% on 92.35% of your net self-employment earnings: 12.4% Social Security (up to $184,500 for 2026) and 2.9% Medicare, plus 0.9% additional Medicare tax on high earnings.

When should my LLC elect S corp status?

Usually once profit is consistently above about $60,000 a year, when the payroll tax saved is more than the extra payroll and filing costs. We model it on your numbers.

Want these rules applied to your business?

Free 30-minute call, then your first month of accounting free.

Claim Your Free MonthChat on WhatsApp