Just a reminder that your third quarter 2009 tax estimate is due today (September 15).
You may need to file quarterly tax estimates if you are self employed, retired, have a side job or don’t withhold enough income taxes through your job or pension.
Failing to send in estimates could result in a penalty if you expect to owe $1,000 or more when you file your return.
To avoid the penalty for not paying enough estimated tax, you need to pay in at least 90% of your 2009 tax liability or 100% of your 2008 tax liability, whichever is less.
Alternatively, you can choose to file and pay your 2009 taxes by January 31, 2010 to avoid any underpayment penalties.
Use Form 1040-ES to submit your estimated tax payment.
For a refresher on estimated tax payments, see ‘Do I Need to Make Estimated Tax Payments?’
