June 15th Deadline: Quarterly Estimated Taxes
Now that we’re under a month away from June 15th, you might be one of the millions of self employed or small business owners that need to file a quarterly estimated tax payment. While not everyone’s cup of tea, the process can certainly be made more manageable by leveraging a few simple tools on the internet.
Do I need to file estimated tax payments?
If you’ve got self employed income, or are a landlord or investor, chances are you’re responsible for making quarterly estimated payments to the IRS (if you’ve got a full time job where taxes are withheld, it may be possible to adjust the amount to cover your additional tax liability).
How do I calculate my estimated taxes?
The IRS says that you must pay either 100% of the tax shown for the prior year, or at least 90% of the tax owed for the current year, or you’ll have to pay a penalty on the amount you’ve underpaid (to learn more about IRS penalties, click here ).
These payments should be made quarterly. For 2010, the dates are January 15th, April 15th, June 15th, and September 15th.
4 tools to help file your estimated tax payments
- Manage your invoices and receipts. Keeping organized is the sure way to get your estimated tax payments done quickly and on time. Services like Shoeboxed can make the process of tracking deductions incredibly easy. If all you need to do is scan or send in all of your receipts and documents for filing (or even use their mobile app to take a picture of your receipts), you’re about 75% of the way there. You can track and manage all of this data online, which will decrease the amount of time needed to calculate your income for your estimated filing.
- File quarterly estimated tax payments electronically. Once done, the web comes to your rescue again: you can pay the taxes using the IRS’s Electronic Federal Tax Payment System.
- Find a tax expert do it for you. Sound complicated or rather not waste your time with accounting? You can find certified tax experts on Teaspiller to help do it for you – all without stepping into a tax office. Teaspiller is also integrated with Shoeboxed and some other accounting packages, making it even easier to share your financial data with a tax accountant. Click here to start your Estimated Taxes.
- Need some tax advice. If you’re late on your estimated tax payments and need some advice on how to deal with the IRS, Teaspiller is also a great resource for your tax questions. Click here to Ask a Tax Question.