Just a quick reminder for all those self-employed folks out there…..the deadline for making your second quarter estimated tax payment for 2016 is rapidly approaching. These payments must be postmarked by June 15th, 2016. Didn’t we just get done with taxes!?
Estimated tax is the method used to pay tax on income that is not subject to withholding. This includes income from self-employment, interest, dividends, alimony, rent, gains from the sale of assets, prizes and awards. You also may have to pay estimated tax if the amount of income tax being withheld from your salary, pension, or other income is not enough.
If you are filing as a sole proprietor, partner, S corporation shareholder and/or a self-employed individual, you should use Form 1040-ES, Estimated Tax for Individuals, to figure and pay your estimated tax. For specific information on how to pay online, by phone, or by mail, visit:
https://www.irs.gov/businesses/small-businesses-self-employed/estimated-taxes