Quarterly Tax Time
- Thread starter Lawrence
- Start date
hI aLL,
I know I am a couple of days late in answering this post but if you did not pay by the Due Date of June 15th, You can still send in the quarterly estimated tax payment. There might be a 1% late fee, but the IRS Will Accept any payments made.
Or you can double up the 3rd quarters October 15 th payment. But also remember that your last 4th Quarter is Due on January 15, 2012
Franklin Katz, ATP, PA, PB,
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039 Fax: (704) 739-3934
e-mail: [email protected]
Web Site: File Your Return Online
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-
I know I am a couple of days late in answering this post but if you did not pay by the Due Date of June 15th, You can still send in the quarterly estimated tax payment. There might be a 1% late fee, but the IRS Will Accept any payments made.
Or you can double up the 3rd quarters October 15 th payment. But also remember that your last 4th Quarter is Due on January 15, 2012Franklin Katz, ATP, PA, PB,
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039 Fax: (704) 739-3934
e-mail: [email protected]
Web Site: File Your Return Online
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-
if you pay all of your estimated taxes by January 15th of the next year it is true that you will not be charged a penalty for not filing quarterly estimated taxes.
It would be best to pay the quarterly taxes when you have it. It does not make a difference when it is filed and mailed in as long as all payments are made up to 98% of the actual taxes that would be owed. The estimated taxes is based on the previous years taxes owed.
So example you owed $6000.00 for tyour 2010 taxes. Your estimated payments would be set at $ 1500.00 per quarter. You would actually have to pay more than $5,880.00 which is 98 % of the taxes that were owed for the current tax filing year which would be for 2011. If you overpay you will recieve a refund of the overage.
It must include your self employment tax also.
Remember your self employment tax is separate from your income tax owed.
Example, owed $4000.00 in Self Employment tax based on your
gross profit
Then your income tax owed for your total income minus either standard or itemized deduction came to $2000.00
that would naturally add up to the $6,000.00 tax was owed.
You would have to have all you figures in order to figure your self Employemnt tax which is 15.3% of the gross profit from your business. and then it would depend what your individual tax on the total income including your Profit from business..
Don't forget to figure your logged days out at $59.00 per day times 80%. also on a quarterly basis. whcih would be your actual deduction when the tax return is complete by April 2012
Franklin Katz, ATP, PA, PB,
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039 Fax: (704) 739-3934
e-mail: [email protected]
Web Site: File Your Return Online
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-
But here is the a problem most drivers have when waiting for the last Quarter. They run into problems in winding up paying the full taxes that would be owed by April 15th the filing deadline.
Even if you get an extension the only item that you save is the Late Filing Fee before Oct 15th. You are still penalized Penality and interest on top of the taxes owed, and then it would be the interest rate compounded daily per quarter. and the same with the penalty at the same rate which is set by the IRS for collection purposes.
It would be best to pay the quarterly taxes when you have it. It does not make a difference when it is filed and mailed in as long as all payments are made up to 98% of the actual taxes that would be owed. The estimated taxes is based on the previous years taxes owed.
So example you owed $6000.00 for tyour 2010 taxes. Your estimated payments would be set at $ 1500.00 per quarter. You would actually have to pay more than $5,880.00 which is 98 % of the taxes that were owed for the current tax filing year which would be for 2011. If you overpay you will recieve a refund of the overage.
It must include your self employment tax also.
Remember your self employment tax is separate from your income tax owed.
Example, owed $4000.00 in Self Employment tax based on your
gross profit
Then your income tax owed for your total income minus either standard or itemized deduction came to $2000.00
that would naturally add up to the $6,000.00 tax was owed.
You would have to have all you figures in order to figure your self Employemnt tax which is 15.3% of the gross profit from your business. and then it would depend what your individual tax on the total income including your Profit from business..
Don't forget to figure your logged days out at $59.00 per day times 80%. also on a quarterly basis. whcih would be your actual deduction when the tax return is complete by April 2012
Franklin Katz, ATP, PA, PB,
Frank’s Tax and Business Service
120 York Rd
Kings Mountain, NC 28086-3151
(704) 739-4039 Fax: (704) 739-3934
e-mail: [email protected]
Web Site: File Your Return Online
Providing Professional Accounting Services and Income Tax Preparation
Circular 230 Disclaimer – Any tax advice in this communication (including any attachments) is not intended or written to be used, and cannot be used, by any taxpayer for the purpose of (1) avoiding tax related penalties under the Internal Revenue Code or (2) promoting, marketing or recommending to another party any transaction or tax-
But here is the a problem most drivers have when waiting for the last Quarter. They run into problems in winding up paying the full taxes that would be owed by April 15th the filing deadline.
Even if you get an extension the only item that you save is the Late Filing Fee before Oct 15th. You are still penalized Penality and interest on top of the taxes owed, and then it would be the interest rate compounded daily per quarter. and the same with the penalty at the same rate which is set by the IRS for collection purposes.
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