Independent Contractor First Timer

[GartheenaQ18]

I started as an independent contractor in July 2024. When is my first quarterly estimated tax payment due and what are the penalties if any, I would owe making a late payment?

[TomK2023 · Accepted solution]

The 1040ES quarterly estimates are due April 15, June 17, Sept 16, 2024 and Jan 15, 2025  Your state will also have their own estimate forms.

The IRS calculates the penalty based on:

• The amount of the underpayment
• The period when the underpayment was due and underpaid
• The published quarterly interest rates for underpayments

IRS Form 2210 calculates the penalty for underpaying your estimated taxes.

TurboTax will automatically generate Form 2210 if your return needs it. 

If you need to make any adjustments:

1. Open or continue your return.
2. Enter "underpayment penalty" in the Search bpx.
3. Click on "jump to underpayment penalty" link.
4. The Underpayment Penalties screen will display the penalty amount. Select Continue to review this section and make any needed adjustments.

Or you can pay directly on the IRS website Make a payment.