2024 Quarterly Tax Payment Deadlines for Individuals and Businesses

## Understanding Estimated Tax Payments Estimated tax payments are periodic payments made to the IRS on income that is not subject to withholding. Both individuals and businesses may need to make these payments if they expect to owe at least $1,000 in taxes for the year after subtracting withholding and refundable credits. ### Who Needs to Pay Estimated Taxes? - **Self-Employed Individuals**: Freelancers, independent contractors, and small business owners - **Corporations**: Generally must make estimated tax payments if expecting to owe $500 or more - **Partners in partnerships** - **S-corporation shareholders** - **Landlords and Investors**: Those earning rental income or significant investment income For more detailed information, visit the [IRS Estimated Taxes page](https://www.irs.gov/businesses/small-businesses-self-employed/estimated-taxes). ## 2024 Quarterly Tax Payment Deadlines ### Payment Schedule 1. **First Quarter**: - **Deadline**: April 15, 2024 - **Covers Income Earned**: January 1 - March 31 2. **Second Quarter**: - **Deadline**: June 17, 2024 - **Covers Income Earned**: April 1 - May 31 3. **Third Quarter**: - **Deadline**: September 16, 2024 - **Covers Income Earned**: June 1 - August 31 4. **Fourth Quarter**: - **Deadline**: January 15, 2025 - **Covers Income Earned**: September 1 - December 31 ### Corporate Tax Deadlines C-corporations follow a different schedule: * **April 15**: First installment * **June 17**: Second installment * **September 16**: Third installment * **December 16**: Fourth installment ## Payment Methods and Tools The IRS offers several ways to submit quarterly payments: 1. [IRS Direct Pay](https://www.irs.gov/payments/direct-pay-with-bank-account) (free electronic transfer from bank account) 2. Electronic Federal Tax Payment System (EFTPS) 3. Credit or debit card payments (fees apply) 4. Check or money order with Form 1040-ES 5. IRS2Go mobile app > "Electronic payment options are the fastest and most secure way to submit quarterly estimated tax payments." - IRS Commissioner ### Helpful Tools * [IRS Form 1040-ES Worksheet](https://www.irs.gov/forms-pubs/about-form-1040-es) * Tax preparation software * Professional tax advisor services ## Record Keeping and Payment Tracking Maintain detailed records of your quarterly payments: ``` Payment Date | Amount | Confirmation Number -------------|---------|-------------------- 04/15/2024 | $XXXX | XXXXXXXXXX 06/17/2024 | $XXXX | XXXXXXXXXX 09/16/2024 | $XXXX | XXXXXXXXXX 01/15/2025 | $XXXX | XXXXXXXXXX ``` ## Penalty Avoidance To avoid penalties, ensure that you either: - Pay 90% of the tax for the current year, or - Pay 100% of the tax shown on your previous year's return (110% if your adjusted gross income was over $150,000) ### Safe Harbor Provisions Businesses can avoid penalties by meeting safe harbor requirements: - Pay at least 100% of the previous year's tax liability - Make equal quarterly payments - Document reasonable basis for estimates ## Getting Help Consider consulting with: * Certified Public Accountant (CPA) * Enrolled Agent (EA) * Tax Attorney * [IRS Taxpayer Advocate Service](https://www.taxpayeradvocate.irs.gov/) For the most up-to-date information on quarterly tax payments and other tax-related topics, visit the [IRS website](https://www.irs.gov/).

2024 Quarterly Tax Payment Deadlines for Individuals and Businesses

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