I will soon be paying estimated taxes online. Just curious for those who have done it - can I do so without setting up an IRS account? Thanks. (The page I went to seemed to imply that, but as I am not ready yet to send in the money, I didn't experiment with putting in some info.)
It's pretty straightforward. Here's the link to set up your account and make payments.https://www.eftps.gov/eftps/You need to link a bank account to the IRS site so you can transfer funds. Once that is established, you can make estimated payments.Cheers,Tim
You can always pay estimated taxes sending Form 1040-ES vouchers with your check to the Internal Revenue Service office that services your federal tax return.I found it more convenient to use the Electronic Federal Tax Payment System (EFTPS) to pay my estimated taxes. After completing my prior years tax return and estimating my taxes for the current year, I log into EFTPS and schedule my estimated tax payments and identify the account(s) that the taxes are to be withdrawn from. I then forget about taxes until next year.I also use the California Franchise Tax Board's webapp to schedule my California estimated tax payments. I have found California's site to be a little easier to use than EFTPS should you need to make a change.
As opposed to EFTPS (Electronic Federal Tax Payment System) mentioned in the other two replies, you can make any tax payment (not just estimated taxes) to IRS online through its "Direct Pay" function without having to set up an IRS account.https://www.irs.gov/payments/direct-payKenny
I setup EFTPS years ago and I love it. SO pays hers using IRS Direct Pay without having to setup an account. Both methods work fine so it's just a question of which you prefer.
I always keep a cash amount in my IRA.I just take a distribution from an IRA and withhold the taxes from the cash portion.If I don't actually need the money, I make a conversion to my Roth and pay the taxes from the cash portion.That way I never need to interact directly with the IRS.Obviously, one has to manage the income to a tax bracket. Taxes will have to be paid on the IRA eventually anyway.
An advantage of withholding over estimated taxes is that it is considered to be evenly paid over the quarters and may avoid/minimize underpayment penalties.
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