The IRS is reminding taxpayers that the deadline to file third quarter estimated taxes is approaching September 16, 2024. This applies to people like gig workers, retirees, sole proprietors, and S corporation shareholders who expect to owe $1,000 or more in annual taxes.
Taxpayers affected by disasters in 17 states, Puerto Rico, and the Virgin Islands may qualify for a delayed deadline. Taxpayers in the disaster zone in places like Florida, Georgia, and South Carolina have until February 3, 2025to make their payments, while others in states like Arkansas and Texas have time November 1, 2024.
Who Needs to Pay Estimated Taxes? Taxpayers must make estimated payments if they expect to owe at least $1,000 in 2024 taxes after deducting their withholding and tax credits. Payments must be made if the deductions and credits are less than 90% of their 2024 taxes or 100% of their 2023 tax return.
Payment Methods The IRS encourages electronic payments through IRS Direct Pay, debit/credit cards, or the Electronic Federal Tax Payment System (EFTPS). More information can be found at IRS.gov/payments.
Disaster Area Extensions Taxpayers in certain disaster-affected areas have extended the time to pay their estimated tax, from November 1, 2024to February 3, 2025depending on the region.
The IRS also advises taxpayers to ensure proper reporting of income, especially for those who receive payment through applications or online platforms, and reminds taxpayers that the final estimated tax payment for 2024 is due January 15, 2025.
