The first-quarter estimated tax deadline for 2024 is April 15, which coincides with most taxpayers’ federal tax due date.
You may need to make estimated tax payments for income from self-employment, gig economy work, investment earnings and more.
Tax filers may avoid late payment penalties by sending 90% of 2024 taxes or 100% of 2023 levies if adjusted gross income is less than $150,000.
If you are racing to file taxes, you could miss another key deadline: the April 15 due date for first-quarter estimated tax payments.
Estimated tax payments typically apply to earnings from gig economy work, freelancing, small business, retirement or investing, which may have no tax withholdings.
That can be “tricky” for certain tax filers with federal taxes due on the same day.
Calculating quarterly estimated payments can be confusing for some taxpayers, experts say.
But there is a “measuring stick” to make it simpler, according to certified financial planners.
As long as your payments meet the “safe harbor” rules from the IRS, there won’t be penalties.
