Tag: Tax Amendment

How to Prepare Your Taxes for an Income Increase

Written by Paul Belfiore on September 24, 2021. Posted in Blog, Taxes.

Milford, NH Resident Expects a Big Bonus

Any significant changes to your annual income can push you to the next tax bracket. This means that the additional money received may be taxed at a higher rate. The good news is that the original income that you were anticipating throughout the year will not be taxed at a higher rate. The federal tax system in the United States is progressive, which means as your income increases only these additional portions that exceed the limits of a current tax bracket are taxed at a higher rate.

What Happens If You Miss an Estimated Tax Payment?

Written by Paul Belfiore on July 16, 2021. Posted in Blog, Taxes.

Amherst, NH Residents Asks for Help

For each month that your estimated tax payment is due, but not paid, the IRS charges a 0.5% penalty. As the months go by, this penalty percentage will increase to a maximum of 25% of the taxes owed. Quarterly estimated tax payments are due April 15^th, June 15^th, September 15^th, and January 15^th of the following year. When the date falls on a weekend, the payment is due the following weekday. A missed payment is seen by the IRS as an underpayment and is treated as such.

How to File a Tax Amendment

Written by Paul Belfiore on April 23, 2021. Posted in Blog, Taxes.

Brookline, NH Residents Needs Help

To file a tax amendment, you will need to submit new forms for the sections of your taxes that are being amended. The IRS’ web site allows you to download these forms from previous tax years. You will need to submit the 1040X form, also available on the IRS web site. Using this form, you can write in the reason for filing the amendment.

A Brookline resident needed to make an amendment to a previous year’s tax return. Wanting to make sure this was done properly, he contacted Merrimack Tax Associates.