ruddaina
Member
Cash: $ 2.70
Posts: 12
Joined: 06 Apr 2012
Location: pakistan |
Paying Estimated Taxes |
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Let's start by defining estimated tax. It is a prepayment of income tax and/or self-employment tax that you may owe for the current tax year on amounts that are not subject to withholding tax, such as interest income, dividends, alimony, rent and gains from the sale of assets. If you receive a W2 from your employer, they will likely take tax out throughout the year. Thus, you wouldn’t have to pay estimated taxes unless you had other sources of income. In general, you are required to pay estimated tax for the current year if the following applies:
You expect to owe at least $1,000 federal tax for the current year.
You expect your withholding from your pension, salary and/or other income subject to withholding tax, along with your credits to be less than the smaller of:
90% of the tax to be shown on your current year's tax return.
100% of the tax shown on your previous year's tax return, which must be for the full 12 months of that tax year.
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Fri Apr 06, 2012 5:52 pm |
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Barsedane
New Poster
Cash: $ 0.40
Posts: 2
Joined: 09 Apr 2012
Location: usa |
Re: Hi |
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I am going to recieve a very large bonus at the end of this Year. Should I start paying estimated taxes now?
If I need to pay estimated taxes how do I go about it?
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Mon Apr 09, 2012 7:08 am |
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wishesmy0
New Member
Cash: $ 1.00
Posts: 5
Joined: 13 Feb 2012
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hih, Good ideas when have big money from bonus
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Mon Apr 09, 2012 3:58 pm |
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ruddaina
Member
Cash: $ 2.70
Posts: 12
Joined: 06 Apr 2012
Location: pakistan |
Re: Hi |
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quote: Originally posted by Barsedane I am going to recieve a very large bonus at the end of this Year. Should I start paying estimated taxes now?
If I need to pay estimated taxes how do I go about it?
Its Depend, how much you gonna earn, in which city you are, and etc.
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Tue Apr 10, 2012 10:52 am |
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