As an independent contractor in Illinois, you are generally required to file an annual income tax return and make quarterly estimated tax payments throughout the year. Unlike W-2 employees, no taxes are withheld from your income, so you're responsible for managing and paying all applicable taxes on your own.
Do I File Quarterly or Yearly?
You must make quarterly tax payments if you anticipate owing at least $1,000 in federal taxes for the year. These payments include both your federal income tax and self-employment tax (which covers Social Security and Medicare contributions).
Federal Quarterly Estimated Tax Due Dates
Estimated taxes are typically due on the following dates: - **
- April 15 (for income earned January 1–March 31)
- June 15 (for income earned April 1–May 31)
- September 15 (for income earned June 1–August 31)
- January 15 of the following year (for income earned September 1–December 31)
Illinois State Taxes
In addition to federal taxes, you may also be required to make quarterly estimated payments for Illinois state income tax. The payment schedule for Illinois estimated taxes aligns with the federal due dates outlined above. By staying on top of your quarterly estimated tax payments, you can avoid potential penalties and ensure you're meeting your obligations at both the federal and state levels.
Lastly, you can enter your tax information in as much detail as possible in the program below to receive an estimate of your potential tax liabilities for 2025.
TaxCaster
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