To pay quarterly taxes, follow these steps:
- Calculate Your Estimated Tax Payment
- Estimate your total income for the year.
- Subtract deductions and adjustments (such as the standard deduction and half of your self-employment tax).
- Calculate your expected income tax and self-employment tax using IRS tax rates and brackets.
- Divide the total estimated tax by four to get your quarterly payment amount.
You can use IRS Form 1040-ES and worksheets to help with these calculations
- Know Your Payment Deadlines
Quarterly tax payments are generally due four times a year, typically in April, June, September, and January of the following year. These dates correspond to income earned in each quarter
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Choose a Payment Method
You can pay your quarterly taxes in several ways:- Online: Use the IRS Electronic Federal Tax Payment System (EFTPS), IRS Direct Pay, or the IRS2Go mobile app for convenient and secure payments.
- By Mail: Send a check or money order with the payment voucher from Form 1040-ES to the IRS.
- By Phone: Some payments can be made by phone, but you still need to file the form separately.
- Other: Pay by debit or credit card (fees may apply), or in cash at certain IRS retail partners
- Adjust Payments If Needed
If your income changes during the year, you can adjust your remaining quarterly payments accordingly to avoid underpayment penalties
- File Your Annual Tax Return
When filing your annual tax return, you will reconcile your total tax liability with the quarterly payments made. Pay any remaining balance or receive a refund if you overpaid
By following these steps and using available IRS forms and online payment systems, you can efficiently manage your quarterly tax payments and avoid penalties.
