You could own your business, you could just be an employee, you could have hustles on the side, you could be an investor and you have a very high capital gain. You need to know that Tax Season is coming around. You need to prepare yourselves. This article is going to show you ways you can get yourself ready for this tax season.
If you are a payer of tax and you pay the IRS every quarter, you need to make your payment by September 16th.
Every year have their deadlines. If you do not want to attract a penalty from the IRS, you need to pay ninety percent at least of your income taxes. These taxes are paid annually. There’s also a hundred percent of the liability of the tax you pay. These are necessary from the year before for you to get rid of an underpayment penalty on your return of tax.
The threshold you could have is that of a hundred and ten percent. If you have gross income which gets adjusted and the return from that year passes a hundred and fifty thousand dollars.
As an employee, you would have your federal income taxes held from you through all your paychecks. These are also for self-employed individuals. They tend to pay all they owe by each quarter of the year.
These all mean that these people that pay taxes by the quarter need to settle and plan these payments properly in advance.
What Should I Do as the Tax Season Is Coming?
I so do not like owing debts. Tax whether we like it or not is a form of debt because the tax is the way the government gets funds to take care of the nation. It is other words exchanged by the government as government expenditure. This is what is used in the creation of good roads, traffic lights, payments on the salaries of essential workers, and all in between. So you need to pay your tax. Your tax needs to be kept and your books need to be organized in a manner that when the tax season comes. It would be very easy and simple for you, your company, your employees, and all you’re in contact with to pay their fines. It is all so simple. You need to plan everything though. Because if you do not plan, you would run into a lot of problems when the tax collectors should come knocking at your door.
What Happens to Me If I’m Not Prepared When the Tax Collectors Come Knocking?
You can politely with peace and grace ask for an extension. Make these tax collectors feel welcomed and comfortable in your office or where you work or where they need to see you and get your tax. But if you’re rude to them, that would be very sad for you. You should just simply beg them, kindly for more time.