By: Josh Brock
If you operate a pass-through entity (PTE) in California, are you aware of the upcoming California Pass Through Entity Tax election for 2023? To make the election for the 2023 tax year, the state requires a minimum estimated tax payment of $1,000 by June 15, 2023.
This election is made when filing your tax return for the taxable year. Failure to make the initial payment by June 15 will disqualify your business from making the election for the current year. This rule applies to taxable years starting from January 1, 2022, to January 1, 2026.
Our tax team is here to assist you with any questions or concerns you may have regarding the California Pass Through Entity Tax election or any other tax-related matters. Staying compliant and up to date with tax regulations is essential for your organization’s financial health and peace of mind. Contact us or your KPM tax advisor to learn more.