What is the Electronic Federal Tax Payment System (EFTPS)?

What is the Electronic Federal Tax Payment System (EFTPS)?

The Electronic Federal Tax Payment System (EFTPS) is a free service provided by the U.S. Department of the Treasury. The EFTPS allows you to view and make all federal tax deposits or payments. While you can use the EFTPS to make personal federal estimated tax payments, www.irs.gov/directpay is easier and doesn’t require you to have an account. In most cases, questions about the EFTPS come up when discussing payroll. Your payroll taxes will need to be made via EFTPS. That means you either have an existing EFTPS account or you will need to set one up. If you are working…
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Lessons Learned This Tax Season

This season started off to a rocky start with the government shutdown and reduced staff at the IRS. A new set of tax laws and a lack of approval from the IRS on all the forms we needed to file made this year start very, very slowly. This meant we began filing returns a week later than we did in 2018. Due to the new tax laws, we determined that each of our clients would require more time than usual.. I estimated each client would require around 45 minutes more per return, but the actual number was closer to 1.5…
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What the Heck Do I Do About Estimated Taxes?

What the Heck Do I Do About Estimated Taxes?

What the Heck Do I Do About Estimated Taxes? Quarterly taxes, business taxes, estimated tax payments — are these all the same thing? Federal estimated tax payments are quarterly payments paid on your business or self-employed income. In Washington State, we also have State Business and Occupancy taxes. Do I need to make estimated tax payments? If you fall into both of the following categories you had better pay in estimated taxes: You are expecting to owe at least $1,000 or Your withholding will be less than: the smaller of 90% of your 2019 taxes or 100% of your 2018…
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