Here is an answer to a Frequently asked Question regarding Self Employed Individuals
Question:
 How do I know if I have to file quarterly individual estimated tax payments?
Answer:
You must make estimated tax payments for the current tax year if both of the following apply:

• You expect to owe at least $1,000 in tax for the current tax year, after subtracting your withholding and credits.

• You expect your withholding and credits to be less than the smaller of:

• 90% of the tax to be shown on your current year’s tax return, or

• 100% of the tax shown on your prior year’s tax return. (Your prior year tax return must cover all 12 months.)

 
There are special rules for:
1.  Higher income taxpayers
2.  Farmers and fishermen
3.  Nonresident aliens
4.  Estates and trusts
Because these involve more detailed discussions you can email us today to find out answers to these questions.