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My wife is a self-employed realtor. Last year she made a good amount of money, which created hellacious estimated quarterly tax payments for 2007. For 2006, I had already calculated our tax burden and had filled out the necessary forms, but because I was uncertain about what to do about the estimated SE tax payments for 2007, I hired an accountant to file my 2006 taxes, and as part of the deal, he would advise us on what to do next. The accountant told us to give him call when my wife earned some money. Needless to say, my wife earned a small commission ($1500) in Sept.07, but did not earn anymore commissions until Dec. 07. We called for advice in December and our accountant said that we would have to pay about a $50 penalty, but we could pay our SE payments the same time as we pay our taxes on April 15.

My question is,huh? Is that it? Am I missing something? Why did I hire this accountant? Any comments from anyone familiar with the annualized method of calculating one's self-employment taxes would be greatly appreciated.
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