Yes. NexGen Taxes can connect you with Pros, who can prepare your quarterly estimated payments. You will no longer have to wonder if you’re doing it right because one of our Pro will prepare all the forms for you and provide you with some easy-to-follow instructions for making your quarterly payments.
- What are estimated payments?
Estimated payments are tax payments that you make to the government every quarter. These payments go towards your income tax liability for the current year. If you have income from sources without taxes withheld, you may need to make estimated tax payments to avoid penalties and interest charges.
- Why do I need to make estimated payments?
As an individual, you are responsible for paying enough taxes on your income throughout the year. To achieve this goal, you must estimate and pay taxes every quarter. Failure to do so can result in penalties and interest charges from the IRS.
- How does NexGen Taxes help with estimated payments?
NexGen Taxes matches you with highly skilled professionals who specialize in expertly handling all aspects of preparing and filing estimated taxes on your behalf. You can find solace in knowing that your taxes are entrusted to experienced professionals, offering you a sense of tranquility and assurance.
- Who should make quarterly payments?
Businesses or individuals who expect to have to pay taxes at the end of the year should make quarterly payments. Here are some more specific examples:
- Independent Contractors (Individuals who receive a 1099-MISC)
- Consultants (Individuals who receive a 1099-MISC)
- Sole proprietors (Individuals who run an unincorporated business)
- Profitable Businesses (C-Corps, S-Corps, LLPs, LLCs, etc.)
- You should also consider making estimated payments if you had to make a tax payment after you filed your return last year.
- Why should I make quarterly estimated payments?
Individuals and businesses often make estimated payments to help manage cash flows and prevent them from scrambling for cash at the end of the year. Making four smaller payments is often easier than making one large payment. According to IRS standards, estimated payments should be either 90% of this year’s tax liability or 100% of last year’s tax liability. Making payments by that standard will help to avoid underpayment penalties.