{"ok":true,"canonical_url":"https://dealroom.so/glossary/tax-returns","api_url":"https://dealroom.so/api/public/glossary/tax-returns","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"tax-returns","term":"Tax returns","group":"Reading the business","definition":"These are official documents filed with tax authorities, reporting a business's income, expenses, and taxes owed. They are crucial for verifying reported revenues and profits.","what_it_means":"Always request at least three years of business tax returns and the seller's personal returns for add-back verification. Your CPA will compare them to the financial statements, as tax filings are less prone to manipulation than internal books. The SBA requires IRS transcripts (4506-T) to confirm these.","url":"https://dealroom.so/glossary/tax-returns","official_sources":[{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sop-50-10"},{"slug":"sba-form-1919","title":"SBA Form 1919 — Borrower Information Form","official_url":"https://www.sba.gov/document/sba-form-1919-borrower-information-form","official_label":"View on SBA.gov","authority_tier":4,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sba-form-1919"}],"related":[{"slug":"audited-financial-statements","term":"Audited financial statements","url":"https://dealroom.so/glossary/audited-financial-statements"},{"slug":"interim-financial-statements","term":"Interim financial statements","url":"https://dealroom.so/glossary/interim-financial-statements"},{"slug":"cpa","term":"CPA","url":"https://dealroom.so/glossary/cpa"},{"slug":"irs-transcripts","term":"IRS transcripts (4506-T)","url":"https://dealroom.so/glossary/irs-transcripts"}],"related_questions":[{"question":"Do unfiled tax returns or overdue taxes prevent SBA approval?","url":"https://dealroom.so/sba-7a/questions/do-unfiled-tax-returns-or-overdue-taxes-prevent-sba-approval"},{"question":"Can tax returns of the business be used to support a partner buyout?","url":"https://dealroom.so/sba-7a/questions/can-tax-returns-of-the-business-be-used-to-support-a-partner-buyout"},{"question":"What if my personal tax returns show inconsistent income or losses from other ventures?","url":"https://dealroom.so/sba-7a/questions/what-if-my-personal-tax-returns-show-inconsistent-income-or-losses-from-other-ventures"},{"question":"What if the business I am buying has unfiled tax returns or overdue payroll taxes?","url":"https://dealroom.so/sba-7a/questions/what-if-the-business-i-am-buying-has-unfiled-tax-returns-or-overdue-payroll-taxes"},{"question":"What if the business I'm buying has unfiled tax returns or overdue payroll taxes?","url":"https://dealroom.so/sba-7a/questions/what-if-the-business-i-m-buying-has-unfiled-tax-returns-or-overdue-payroll-taxes"},{"question":"Does the SBA look at my personal tax returns when I apply for a business loan?","url":"https://dealroom.so/sba-loans/basics/does-the-sba-look-at-my-personal-tax-returns-when-i-apply-for-a-business-loan"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Tax returns","url":"https://dealroom.so/glossary/tax-returns","source_type":"DealRoom Data"}}