Forums: Discussions for entrepreneurs and small business.

Let's say on your 2008 tax return you chose to pay estimated taxes on 100% of your estimated 2009 income. You pay the full amount for Q1. You pay the full amount for Q2. The due date for Q3 estimated taxes is coming up quickly. And it hits you that you have paid more in estimated taxes so far than you have made in total income this year. It has been a slow year. You also know that the rest of the year, you won't make enough money to pass the amount of estimated taxes that you have already paid this year so far.

Given this scenario, do you still have to pay estimated taxes for Q3 and Q4? Or must you continue paying the full amount for Q3 and Q4 that you estimated for your 2009 income back when you did your 2008 taxes?

Thanks.

Joel, from what you have explained, it sounds safe to me for you to skip your estimated payments unless your income situation changes dramatically in the next few months.

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Rives CPA PLLC Certified Public Accountant Chartered Global Accountant

agreed that it is safe, however whenever in doubt always overpay. i know it is sad to loan money for free, but it is far better than being on the short end.  you dont want to get on the IRS's bad side....after all you have to deal with them for the rest of your income earning life  . . .  and maybe even later ;-)

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