Quarterly Estimated Tax Payments - Avoiding a Penalty

[lcoleman0920]

This is my first year as a sole proprietor, and I expect my 2021 income to be $100,000-120,000. Since this is my first time dealing with self-employment taxes, I was completely unaware that I was required to make estimated quarterly tax payments. Is there anything I can do at this point to avoid paying a penalty? And if not, what penalty can I expect?

[OpeA1]

No, it is not too late to pay. In fact, if you pay now it will reduce the penalty you may be subject to as stated below. It is impossible to calculate the penalty without the specifics. Please see the link below.

This is taken from the IRS website (link:https://www.irs.gov/faqs/estimated-tax )

When are quarterly estimated tax payments due?

Answer:

For estimated tax purposes, the year is divided into four payment periods. Each period has a specific payment due date. If you don't pay enough tax by the due date of each payment period, you may be charged a penalty even if you're due a refund when you file your income tax return at the end of the year.

If you mail your estimated tax payment and the date of the U.S. postmark is on or before the due date, the IRS will generally consider the payment to be on time. If you use IRS Direct Pay, you can make payments up to 8 p.m. Eastern time on the due date. If you use a credit or a debit card, you can make payments up to midnight on the due date.