Estimated Tax Payment Due Dates
In addition to the statutory due dates listed above, estimated tax payments also have their own due date schedule. Often, taxpayers are confused on the due dates for estimated tax payments since they do not fall on a typical quarter end. The first quarter estimated tax payment is due the same time as the prior year’s tax or extension payment is due. The fourth quarter payment is due in the year following the tax year. This is practically the only time a payment made in a following year impacts the prior year tax return for cash basis taxpayers.
Our tax system is a “pay as you go” system, meaning that taxpayers are expected to pay in tax, on at least quarterly basis, for the income they have earned. If there is adequate withholding by employers, then this can be a seamless process. However, some taxpayers, especially those with dual incomes, fluctuating income or significant passive income or those who are high earners, or self-employed may find themselves under-withheld at tax time. In addition to a significant tax bill, these taxpayers may also find themselves with an underpayment penalty.
The due dates for estimated tax payments are listed below.
|Estimated Tax Payments||Estimated Payment Due Date|
|1st Quarter||April 15th|
|2nd Quarter||June 15th|
|3rd Quarter||September 15th|
|4th Quarter||January 15th of the next year|