“Taxpayers that receive income not subject to withholding, such as income from self-employment, gig work, interest, dividends, capital gains, rent, or 1099 earnings, may need to make estimated tax payments throughout the year,” said the agency. “This includes freelancers, retirees, investors, businesses, and corporations.”
Estimated taxes are applicable to taxpayers such as sole proprietors, partners, and S corporation shareholders who expect to have tax liabilities of at least $1,000 in a tax year. For corporations, taxes are applicable if they expect to owe at least $500.
Among individuals, estimated tax payments must be made by people earning money through gig work, sale of goods and services, or freelance work.
Individuals whose incomes are being withheld may also be required to make the quarterly estimated tax payment if sufficient taxes are not being withheld from their wages. To prevent this situation, employed individuals can ask employers to withhold a larger amount from their income.
“Paying on time helps taxpayers avoid falling behind on their taxes and possible underpayment penalties,” the agency said.
Another June Deadline
June 16 is also the due date for taxpayers living and working abroad to file and pay their 2024 taxes.
“U.S. citizens or resident aliens residing overseas or in the military on duty outside the U.S. are allowed a two-month extension to file from the normal April 15 deadline. Since June 15 falls on a Sunday in 2025, the deadline is delayed to Monday, June 16,” the IRS said in a May 22 statement.
In case taxpayers are unable to file returns by June 16, they can request an extension to postpone the filing deadline to Oct. 15.
However, “an extension of time to file is not an extension to pay,” the agency clarified. “Interest will apply to any 2024 tax payments received after April 15, 2025.”
The agency processed over 266 million returns and other forms last fiscal year and issued nearly $553 billion in refunds.
Sen. Mike Crapo (R-Idaho), the committee chair, has said that if Long is selected to be the IRS head, he will work with him to “ensure the IRS focuses on helping American taxpayers to better understand and meet their tax responsibilities, and that it enforces the tax law with integrity and fairness to all.”
Long has faced opposition from Democrats, who have accused him of lacking direct experience with tax policy.
