S corporation closure.

[Nzh0573_6606]

Hello there,

I want to close my S corporation in 2025.

I filed for an extension for 2024 due to some family issues.

S corporation - only one employee on a W-2.

The company received 2 checks in January 2025 for services that were performed in December 2024.

The checks total $363.44.

All required 941, 940, and Social Security tax forms were submitted and paid on time.

When should I file my 2025 closing report with the IRS?

Do I have to file a 941 for the first quarter with no income?

What date should I include on my final closing tax report?

Thanks a lot.

[ThomasM125]

You will need to file the 2025 final tax return starting in January of 2026. The 2025 form won't be available until 2026. You don't have to file the Form 941 if you have no payroll to report. The final return will be for calendar year 2025, you don't need to enter a fiscal year end date. 

[Nzh0573_6606]

Thank you.

I found on IRS site :

If Your Business Has Closed . . .

If you permanently go out of business or stop paying wages to your employees, you must file a final return. To tell the IRS that Form 941 for a particular quarter is your final return, check the box on line 17 and enter the final date you paid wages. Also attach a statement to your return showing the name of the person keeping the payroll records and the address where those records will be kept.

Any comments?

[ThomasM125]

Yes, that would be the correct procedure. For practical purpose however, as long as you didn't issue a W-2 form for the year the absence of a Form 941 would likely not be questioned.