IRS Info

What is a 1040-ES Form Irs ?

Q.I received a 1040-ES in the mail today. I am not sure why I am receiving this. Is this a manditory form Irs ? Is it telling me that I made a mistake from last year? I guess I am not sure why I am receiving this form... I have never gotten one of these before.

A.No. For some reason IRS's computers think you'll be making estimated tax payments for 2006 and are sending you the vouchers so they'll get properly credited. You can read about estimated tax requirements in Publication 505. If you're not required to make payments no response to IRS is necessary. You probably had a balance due last year of a significant amount (more than $1000?) and they are just letting you have the option to make quarterly payments toward 2006. It's not mandatory, but if you anticipate being in a balance due situation again, you might be able to avoid underpayment penalties by making quarterly estimated tax deposits. The 1040-ES (as I'm sure you can tell by reading) is used to "estimate" taxes due for the upcoming year. For those who have no income subject to withholding (e.g., self-employed), it is a device to arrive at a reasonable "guess" at taxes due for the upcoming year, and then make periodic payments to avoid an IRS penalty for _underpayment_. If you received an unsolicited form from the IRS, it's likely because you had a large balance of tax due with your 2005 return -- even perhaps owing a penalty. It's simply a courtesy reminder that there's a method to avoid future penalties. If you're employed and having tax w/h, you should take a moment to verify the w/h will be sufficient to avoid penalty. If not, you can submit a new W-4, claiming fewer or no dependents. If, on the other hand, you have considerable income _not_ normally subject to w/h (e.g., stock dividends, interest on CDs, etc.), you may prefer to join the legions of TPs who regularly use the 1040-ES to pay their tax obligation.

Other Questions :

Anyone know of a (preferably spreadsheet based) simple IRS tax calculator that would give me a rough feel for tax liability?

Anyone know of a (preferably spreadsheet based) simple IRS tax calculator that would give me a rough feel for tax liability? I've had a look through this group's archives and on Google but, surprisingly, couldn't find anything current.Tax calcu...

CPA detaining tax records during IRS audit. Please help!

My ex-CPA is detaining my tax/accounting records/books/receipts half-way through an IRS audit because of a billing dispuit. Is this legal? Ethical? I can't finish my audit (an entire other issue all together, i.e. IRSholes) without my recor...


WOULD YOU LIKE TO WITHDRAW FROM THE IRS INCOME TAX SYSTEM ?If you wish to learn how to withdraw from the US Individual income tax system and become a NONfiler with the IRS this site and our product is for you. This is legal, tried and tested and ...

IRS tax return copies

I'm preparing the three years of tax returns and other forms that will be needed for the interview once our petition is approved and sent over to the embassy. I have last years tax return, and I'll have this years when I file next month, but I...

Changing IRS tax forms in MS Money 2004

Is there a way to add/change tax form categories and IRS tax form line categories in MS Money 2004? The old MS Money version I had before used a ".TXT" file that allowed you to edit tax lines but that seems not to be the case in MS Money 2004....


Submit a IRS Question

Submit an Question

Other IRS Sites

Site Information

About Us
Contact Me
Privacy Policy


©2007 IRS Info All Right Reserved.