What it is
Business returns fail at the seams: the trial balance that does not tie to the books, a Schedule M-1 that does not reconcile, a K-1 that disagrees with the basis records. The checklist puts those seams in order.
It covers entity data and elections, income and deductions, balance sheet and schedules, basis and capital accounts, information returns and other compliance filings, state and composite items, and finalization with signed e-file authorization.
When to use it
- Reviewing partnership, S corporation and C corporation returns.
- During busy season to keep review consistent across staff.
- In a firm’s quality control and peer review evidence.
What’s inside
- Entity data, owners and elections
- Income, deductions and special limits
- Schedules L, M-1, M-2, capital and basis
- Information returns, state items and finalization
Standard cited
This template follows Circular 230 §10.22 / SSTS. It is written in our own words, except for phrases the standard requires the document to contain, with [bracketed placeholders] for client details, amounts in USD and dates as MM/DD/YYYY. Check it against the current standard and your firm’s methodology before use.
Questions
Does the checklist cover all entity types?
It covers the common items for Forms 1065, 1120-S and 1120. Delete rows that do not apply and add rows for entities such as trusts or exempt organizations that you prepare.
Why check the beneficial ownership reporting status?
Entities may have reporting obligations separate from the return. Confirm the status for each client under the rules in force when you review.
Who signs the e-file authorization?
An authorized officer, partner or member signs. The checklist asks you to confirm the signed authorization is in hand before filing.
Related templates
- Individual Tax Return Review Checklist
- Schedule M-1 Book-to-Tax Reconciliation Workbook (Excel)
- S Corporation Shareholder Basis Worksheet (Excel)
- Tax Extension and Due Date Tracker (Excel)
Last updated 11/05/2026. All free templates.