Government Requirements
Federal Income Tax Payments: 1040ES
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Pay quarterly estimated income tax payments on your business' net income.
Forms to use  1040-ES Worksheet, coupons and instructions
 
Amount due  15% to 39.6% on your share of the business' net income (plus your other personal income).
SingleMarried Hd Hsld Mar/Fil Sep
10% on first $ net income 9,525 19,050 13,600 9,525
12% on next income up to: 38,700 77,400 51,800 38,700
22% on next income up to: 82,500 165,000 82,500 82,500
24% on next income up to: 157,500 315,000 157,500 157,500
32% on next income up to: 200,000 400,000 200,000 200,000
35% on next income up to: 500,000 600,000 500,000 300,000
then 37%
 
To avoid penalties  To avoid penalties, you must pay 90% of this year's tax or 100% of last year's tax in normal employment withholding or estimated tax (this form). There are special requirements if your household income was over $169,740 or you are a fisherman. Please see 1040ES instructions.
 
How you should complete the form. 
Line  What to enter
1Take your share of the the annualized net income that you calculated with IRS 1040 Schedule SE. and add any other income you (or your spouse if you file jointly) expect to earn this year.
2 To avoid IRS fines for incorrect estimates, just use the standard deduction. For 2013, this is $12,200 for married filing jointly; $8,950 for head of household and $6,100 for single.
3 Line 1 minus line 2
4 Multiply the number of personal exemptions by $3,900
5Line 3 minus line 4
6Tax. See tax rate schedules on page 2 of the instructions or the information shown above.
7-8Adjustments for alternative minimum tax, which is usually 0, unless you had large write-offs.
9-10Adjustments for credits, which are usually 0, unless last year you had tax credits and they still apply.
11Self-employment tax. See Schedule SE to calculate.
12Other taxes, which include employment taxes for household employees plus annuity, endowment or IRA taxes.
13Add lines 10, 11 and 12 and subtract any earned income credit. Earned income credit is not available to partner/owners of businesses.
13cTax due this year.
14 Enter the smaller of 90% of line 13c or last year's tax on your 1040 return. Note. If you earned more than $150,000 last year, you should enter 90% of line 13c or 110% of last year's tax.
15Income tax that will be withheld during the year through payroll deductions (from other jobs).
16Tax that must be paid quarterly this year: Line 14c minus line 15.
17Deposit now: Divide line 16 by the number of quarterly due dates remaining before next April 15th, i.e. if you begin business on June 30, you will have two due dates: September 15th and January 15th.
 
Due date  April 15, June 15, September 15, January 15.
 
To pay  
 
Questions?  Call the IRS information hotline (800) 829-1040. For forms, call (800) 829-3676 or obtain them online at http://apps.irs.gov/app/picklist/list/formsPublications.html.
 
 
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