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Who Must Make Estimated Federal Income Tax Payments? 
 
by kmhagen July 18, 2005

When are Estimated Tax Payments Due?

The year is divided up into four periods for estimated tax payment purposes, with a specific due date for each period, as follows:

  • April 15th, for the period January 1 through March 31
  • June 15th, for the period April 1 through May 31
  • September 15th, for the period June 1 through August 31
  • January 15th of next year, for the period September 1 through December 31

If you file your annual income tax return and pay the tax you owe by January 31st, you do not need to make the final estimated payment due on January 15th.

For fiscal year taxpayers, the due dates would be:

  • 15th of the fourth month of the fiscal year
  • 15th of the sixth month of the fiscal year
  • 15th of the ninth month of the fiscal year
  • 15th of the first month following the end of the fiscal year

When to Start Making Estimated Tax Payments

You start making estimated tax payments when you have income that is subject to estimated tax.  This may require you to revise your estimate at different times during the year, as your personal situation and your income changes.

If you have income in the first period that is subject to estimated tax, you must make your first estimated payment by the due date for that period (April 15th).  You can pay all your  estimated tax at that time, or you can pay it in installments, on each of the pay period due dates.

If you do not have income subject to estimated tax until a later period, here again, you could pay all your estimated tax on the due date for the first period in which you have income subject to estimated tax, or you can pay it in installments over the remaining periods.

There is an exception for farmers and fishermen.  If two-thirds of your income is from farming or fishing, you only have to make one estimated payment – the final one, due on January 15th of next year.  The other three period due dates do not apply.  And, if you file your return and pay any tax you owe by March 1st of the following year, you do not have to make any estimated payments. 

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