I am doing bookeeping for a small business and need to find the best way to pay my taxes. I am a stay at home mom and do the bookeeping on the side. Do I have to pay taxes quarterly or can I just pay at the end of the year as additional income to my husband. I dont want the added costs of starting my own business.
2007-10-19 06:48:41 · 3 answers · asked by Criddle 2 in Business & Finance ➔ Taxes ➔ United States
look for the answer on irs.gov
2007-10-19 06:55:08 · answer #1 · answered by optitkl 3 · 0⤊ 1⤋
If you are going to owe $1000 or more in tax at the end of the year, then yes you need to get money deposited, either by making quarterly payments or by having more taken out of your husband's pay - if you're filing a joint return, either way works. Remember that you'll not only have income tax, but also self-employment tax of 15.3% for social security and medicare - that all counts toward the $1000 limit.
If you end up owing $1000 or more, you'd pay penalties for underwithholding if you just let it go and pay when you file your return..
2007-10-19 07:05:45 · answer #2 · answered by Judy 7 · 2⤊ 0⤋
It depends on how much you are making.
If possible, take your last years return and add your income (don't forget about the Self-Employment tax) and see how your last years return comes out.
If you still get a refund, you probably don't have to worry. There is no sense paying estimates when you are just going to get that money back next year. If your income causes you to owe over $1000, then you should either: a) Make estimated payments; or b) increase your husbands withholding at his job.
2007-10-19 06:56:32 · answer #3 · answered by Wayne Z 7 · 3⤊ 0⤋