Form 1065 (Partnership Return)
Definition
The US information return a partnership files to report its income, deductions and credits. The partnership itself pays no income tax; each partner receives a Schedule K-1 reporting their share.
Related Terms in US Tax
Depreciation Recapture
The US rule that when a depreciated asset is sold for more than its written-down value, the previously claimed depreciation is taxed, often at ordinary rates, rather than as capital gain.
Home Office Deduction
A US deduction for the business use of part of a home, available to qualifying self-employed taxpayers using either a simplified square-footage method or actual expenses, subject to exclusive-use rules.
Employer Identification Number (EIN)
A federal tax identification number the IRS issues to US businesses for filing returns, hiring employees and opening bank accounts. It functions like a Social Security number for a business.
Form 7004
The US form a business files to request an automatic extension of time to file certain business income-tax returns. It extends the filing deadline but not the time to pay any tax owed.
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