When are Quarterly Taxes Due? Understanding Local Regulations in New York
Tax season in the United States falls between January and April each year3 min read
Tax season in the United States falls between January and April each year. For many entrepreneurs and business owners, this five month period serves as the ideal time to accurately document and report their income to the Internal Revenue Service (IRS). However, businesses that have income and earnings during the other eight months of the year are still required by law to pay quarterly taxes and comply with local regulations. If you’re a business owner or an entrepreneur based in New York, understanding when quarterly taxes are due, and the associated penalties for not filing in a timely manner, is essential.
In this article, we’ll share some common questions and answers about filing quarterly taxes in New York, as well as provide an overview of the applicable regulations.
What Are Quarterly Taxes?
Quarterly taxes are the estimated taxes paid during the year. It is the responsibility of businesses with income or earnings during the year to pay their federal, state, and local taxes four times a year. Businesses are expected to make estimated payments each quarter in order to accurately reflect their income and the taxes the business is liable to pay.
When Are Quarterly Taxes Due in New York?
In the state of New York, the estimated taxes due will depend on your filing frequency. For those filing as quarterly estimated filers, taxes are due on April 15th, June 15th, September 15th, and January 15th of each year.
What Happens if I Fail to File My Quarterly Taxes on Time?
The IRS typically levies penalties for businesses and entrepreneurs that don’t comply with tax regulations. In the case of quarterly taxes, there is a penalty for late or unfiled taxes. For those businesses required to file quarterly estimated taxes, the applicable penalty is typically .5 percent of the overdue amount for each month or part of a month the payment is late. This penalty amount capitalizes at 25 percent of the unpaid balance.
When Should I File My Quarterly Taxes?
It’s important to note that while the due date for filing your quarterly taxes is April 15th, June 15th, September 15th, and January 15th, you don’t actually have to wait until those dates to file. In fact, the earlier you file, the more accurate and up-to-date your information will be, thus reducing the chances of a penalty.
For example, if you become aware of your quarterly taxes in March, you can still file in April; however, it’s in your best interest to file as soon as possible.
Are There Other Requirements for Quarterly Taxes in New York?
Yes. Depending on your business filing status, your income, and other factors, there may be other requirements for quarterly taxes in New York. For example, if you will owe more than $4000 in taxes for the tax year, you must make your payments electronically via direct pay, debit, or credit card. You may also be subject to additional taxes and fees that may need to be taken into account when filing your quarterly taxes.
Are There Any Exemptions or Credits Available for Quarterly Taxes in New York?
Most businesses are required to pay quarterly estimated taxes in the state of New York. However, some businesses may qualify for exemptions or credits. If you’ve recently been impacted by an economic downturn, natural disaster, or other emergency, you may be eligible for credits or exemptions. Businesses that meet certain criteria may be exempt from paying quarterly taxes.
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Understanding and complying with the state’s regulations on quarterly taxes is essential for entrepreneurs and business owners in New York. In addition to learning when quarterly taxes are due, it’s important to consider any exemptions and credits you may qualify for, as well as other applicable regulations. Finally, be sure to file your quarterly taxes in a timely manner to minimize the risk of late or unfiled taxes.
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