Advertising Disclosure
  1. Home
  2. Community
  3. Ask
  4. Do Estimated IRS Income Taxes Have To Be Paid Quarterly, Or Must They Only Be Paid By December 31St Of Each Year?

Do Estimated IRS Income Taxes Have To Be Paid Quarterly, Or Must They Only Be Paid By December 31St Of Each Year?

jib2424
  |     |   34 posts since 2014

Is there any penalty for waiting until the end of the year to pay estimated IRS income taxes?

  Post an answer
1


Answers
me1004
  |     |   1,379 posts since 2010
They must be paid quarterly.

You can either do it as four equal payments (including any withholding tax) coming to 100% of your total taxes from last year, or you can calculate as you go and file a form 2210 with your taxes next year to show all your quarterly income and the calculations for the tax on that amount and thus that you paid enough. There is a worksheet in Publication 505 for 2019 for making those quarterly calculations.

Paying as you go and filing the 2210 is a lot of numbers to calculate, but you might prefer to do it that way if your income is not in consistent amounts over the year.

If you do not pay enough each quarter by either method, you will be subject to a penalty.
Reply
6
jib2424
  |     |   34 posts since 2014
Thank you.
Reply
2
me1004
  |     |   1,379 posts since 2010
BTW, I meant Pub. 505 for 2018. AND, I will add, it is not yet available, should have been available long ago. Two weeks to payment deadline, and you can't even get the publication with the worksheet you must have to do the calculations.
Reply
4


The financial institution, product, and APY (Annual Percentage Yield) data displayed on this website is gathered from various sources and may not reflect all of the offers available in your region. Although we strive to provide the most accurate data possible, we cannot guarantee its accuracy. The content displayed is for general information purposes only; always verify account details and availability with the financial institution before opening an account. Contact [email protected] to report inaccurate info or to request offers be included in this website. We are not affiliated with the financial institutions included in this website.