I am a w4 employee. Can I claim exempt and pay all due taxes at the end of the year instead of having it taken from each check? or is there a way to make this possible?

[MichaelMc · Accepted solution]

No. One of the defining characteristics of the federal income tax system is the "pay as you go" principal. Wage earners, those whose income is reported on Form W-2, have taxes withheld from their pay throughout the year. Self-employed persons and small business owners make quarterly estimated tax payments. These amounts are reconciled when your file your Form 1040 tax return each year and you pay the balance due or receive a refund if you are overwithheld.

There are penalties imposed on taxpayers who are significantly underwithheld at year-end.

[dms1488]

Thanks for helping me understand.