Taxpayers whose income is not subject to withholding should consider making quarterly estimated tax payments to the IRS during the year to avoid estimated tax penalty. Log on http://www.etservicesva.com/
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Estimated tax penalty usually applies when a taxpayer pays too little of their total tax during the year. Each year, around 10 million taxpayers face an estimated tax penalty. The average penalty was about $130 in 2015, but the IRS has seen the number of taxpayers assessed this penalty increase in recent years.
With a little planning, taxpayers can avoid the penalty altogether. Here are few tips on how to avoid estimated tax penalties
3. Taxpayers can in general increase their withholding by claiming fewer allowances on their withholding form. If that’s not sufficient, ask your employers or payers to withhold an additional flat dollar amount each pay period.
5. Taxpayers whose income is not subject to withholding should consider making quarterly estimated tax payments to the IRS during the year to avoid estimated tax penalty.
Tips to Make Estimated Tax Payments
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