STATE:

Why NFIB

Take Action

Get Support

Stay Informed

Podcast Podcast

Careers Careers

Join Now

Home / News /

Deadline for Pass-Through Entities to Choose Taxing Option is Sept. 15

September 6, 2023 Last Edit: June 5, 2025

Most small businesses in Alabama are organized as pass-through entitites

Deadline for Pass-Through Entities to Choose Taxing Option is Sept. 15

The Alabama Department of Revenue says the deadline for certain pass-through entities that extended deadlines to elect to be taxed at the entity level is Sept. 15. The department extended the deadline to help those taxpayers who showed an intention to make an election but erroneously failed to do so by the original due dates. Such taxpayers may have either made estimated payments or filed required returns as if the election had been made. The department will recognize elections to be taxed at the entity level that are filed using My Alabama Taxes no later than the due date of the 2022 electing pass-through entity return with applicable extensions, as elections validly made by the due date for those pass-through entities who:

Timely filed the required entity and member tax returns, as if the election had been properly made for the year;
Timely made an electing pass-through entity extension payment; or
Made an entity-level tax payment prior to the due date of the respective return.

Electing Pass-Through Entity returns and payments are due on the 15th day of the third month following the close of the pass-through entity’s taxable year. The entity is granted an automatic six-month extension of time for filing the Electing Pass-Through Entity return. For calendar year taxpayers, the extended due date is Sept. 15, 2023. Taxpayers meeting any of the above requirements and wanting to make the election must access My Alabama Taxes online to make the election for the 2022 tax year. There is not a paper alternative for this online election. To learn more, visit Electing Pass-Through Entity FAQ or contact the department’s Pass-Through Entity Tax Section at 334-242-1033.

Topics:

Taxes

State:

Alabama

Get to know NFIB

NFIB is a member-driven organization advocating on behalf of small and independent businesses nationwide.

Learn More

July 24, 2026

WATCH: What Happened for Small Businesses During the 2026 Arizona Legislative Session?

Learn what happened in Phoenix during the 2026 legislative session and how it affects your small business.

In Front of the Massachusetts State House in Boston

July 23, 2026

An Economic Development Bill Should Help Massachusetts Small Businesses, Not Hurt Them

How does adding new hurdles to a law that refunds taxpayers more of their hard-earned money make Massachusetts more affordable or competitive?

Four adults pose for a photo beside an NFIB banner that reads 'The Voice of Small Business' with 'One Voice' vertically, in a room with a colorful mural on the right.

July 21, 2026

NFIB Partners with Other Groups for ‘Back the Blue’ Luncheon

The luncheon brought NFIB together with local leaders to honor first responders and support the Troy community.

Open office scene with two workers at desks and large computer monitors, a man stands by a kitchen railing in the background.

July 15, 2026

State Policies Impacting Small Businesses

States considered small business measures during the 2026 legislative sessions, including taxes, minimum wage, extreme heat standards, IRC conformity, and tort…

Deadline for Pass-Through Entities to Choose Taxing Option is Sept. 15

Related Articles