Sept. 15 is fast approaching — and if you're not withholding taxes from your income, it's time to send a payment to the IRS.
Many employers withhold taxes from every paycheck, but freelancers, self-employed workers, small business owners, investors and others pay on their own via quarterly estimated tax payments.
Typically, you must make quarterly estimated payments if you're expecting an annual tax liability of $1,000 or more.
Last week, the IRS reminded filers that these payments can help "avoid a surprise at tax time."
It's important to calculate tax payments accurately, pay on time and to consider meeting the "safe harbor" rule to avoid underpayment penalties, Lovison said.
Persons:
filers, homebuyers, Sean Lovison, Lovison
Organizations:
IRS, Finance, WJL Financial
Locations:
Philadelphia