Contact UsI work at home and I understand I must pay quarterly estimated taxes. However, my dad's also worked at home his entire career and he opts to pay once a year and pay the fee for skipping quarterly filing. I'm thinking of doing the same thing to save time, but is this okay to do? How much is the fee and what are the rules surrounding this?
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Tax Professional Answers
William Keats
According to IRS, if the balance due on a return is $1,000 or more, the taxpayer is required to make estimated quarterly tax payments, payable April 15, June 15, September 15, and the following Jan 15.
The rate for underpayment of estimated tax is 5% per month, up to 25%.
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555 weeks ago
The rate for underpayment of estimated tax is 5% per month, up to 25%.