You may be asking yourself, why are Quarterly Tax Estimates so important? Well, as an Owner Operator paying Quarterly Tax Estimates will assist you in the following ways:
Pay the "Right" amount of Tax
- Quarterly estimated tax payments are better known as installment payments towards the current year tax return
and will be due no later than April
15th each year.
However, don't let the April tax deadline scare you. If Abacus prepares your estimates and tax return, we will prepare your estimates based on information you have
provided to us
. This means you will no longer need to be concerned with paying your taxes in one lump sum, rather you will pay them quarterly. In order to effectively prepare your estimate
, Abacus will need to ensure you have provided our office with the necessary information. Specific items needed to prepare an estimate are:  all income (i.e.: paystubs),  preferred filing status,  number of dependents,  expenses incurred by your business
,  prior year tax return, etc.
By providing these items, along with good communication, we can reach the overall goal to help you keep the most operating cash in your company. We can achieve this goal by providing the most financially efficient tax estimated payments.
Avoid Penalties & Interest
- The days of allowing your employer to withhold and pay your taxes for you came to an end when you became your own boss. For self-employed individuals it is important to note that the IRS will charge penalties and interest if Quarterly Tax Estimates are not filed. Paying your taxes throughout the year (through quarterly estimates) will help you avoid costly penalties and interest.
Know your company's financial roadmap
- Similarly to how a GPS map indicates where you are going, Quarterly Tax Estimates provide you a financial roadmap for your business. Utilizing Abacus CPAs to prepare your Quarterly Tax Estimates provides you the clearest pathway to your financial destination.
Contact Abacus CPA's, at 417.380.5000, for your next best step in preparing and filing your Quarterly Tax Estimates.