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9/22/2017 12:11:25 AM
Posted: 2/7/2006 4:48:57 PM EDT
I did my taxes in TurboTax this year, and was estimating, with my projected income for this year, deductions, and current levels of withholding, what my taxes would be like next year.

I came out with me owing about $1500 next year after deductions and withholding.

So, it suggested I did quarterly payments of about $400 a quarter.

My question - just how much of a "penalty" would I end up paying over and above the $1500 next year on my taxes if I didn't do the quarterly payments?



What I love is, if I was getting back $2000, I basically am giving the govt. an interest free loan. But if I end up owing them $2000, they are assessing a penalty (sort of like interest). Lovely.
Link Posted: 2/7/2006 4:51:36 PM EDT
Its not very much to even be concerned with. Very insignificant amount.
Link Posted: 2/7/2006 6:33:06 PM EDT
Cool, thanks - I'd rather have the extra $100 a month to invest and make some interest off first.
Link Posted: 2/7/2006 6:40:20 PM EDT
Are you self-employed? The question has much more signifigance if you are. If not, bah!
Link Posted: 2/7/2006 7:55:46 PM EDT

Originally Posted By Bubblehead597:
Are you self-employed? The question has much more signifigance if you are. If not, bah!



Nope
Link Posted: 2/7/2006 8:37:05 PM EDT
[Last Edit: 2/7/2006 8:39:08 PM EDT by BigMHoff]
I paid a quaterly payment 1 month late last year and they wanted to fine me about 16% I settled for a $118 interest penalty. They are lenient on first time offenders. Dont draw attention to yourself, just pay. Oh, youre not self employed. Different story. I dont know the answer.
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