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w_worden
New Member

Why failure to pay proper estimated tax penalty in 2017 but calculated in 2016?

2016 Form 1040 in line 51 Estimated tax penalty was correct. 2017 Form 1040 in line 23 Estimated tax penalty not entered.
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Why failure to pay proper estimated tax penalty in 2017 but calculated in 2016?

If one was not calculated then one was not required even if you owed. 


Do I need to make estimated tax payments to the IRS?

PAYING ESTIMATES
For SE self employment tax - if you have a net profit (after expenses) of $400 or more you will pay 15.3% for 2015  SE Tax on 92.35% of your net profit in addition to your regular income tax on it. So if you have other income like W2 income your extra business income might put you into a higher tax bracket.

You must make quarterly estimated tax payments for the current tax year (or next year) if both of the following apply:
- 1. You expect to owe at least $1,000 in tax for the current tax year, after subtracting your withholding and credits. 
 
- 2. You expect your withholding and credits to be less than the smaller of: 
    90% of the tax to be shown on your current year’s tax return, or 
  100% of the tax shown on your prior year’s tax return. (Your prior year tax return must cover all 12 months.)


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