Table of Contents
Estimated tax is the method used to pay tax on income that is not subject to withholding. This includes income from self-employment, interest, dividends, alimony, rent, gains from the sale of assets, prizes, and awards. You also may have to pay estimated tax if the amount of income tax being withheld from your salary, pension, or other income is not enough.
Estimated tax is used to pay both income tax and self-employment tax, as well as other taxes and amounts reported on your tax return. If you do not pay enough tax, either through withholding or estimated tax, or a combination of both, you may have to pay a penalty. If you do not pay enough by the due date of each payment period (see When To Pay Estimated Tax on page 24), you may be charged a penalty even if you are due a refund when you file your tax return. For information on when the penalty applies, see chapter 4.
It would be helpful for you to keep a copy of your 2008 tax return and an estimate of your 2009 income nearby while reading this chapter.-
Who must pay estimated tax,
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How to figure estimated tax (including illustrated examples),
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When to pay estimated tax,
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How to figure each payment, and
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How to pay estimated tax.
Publication
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553 Highlights of 2008 Tax Changes
Form (and Instructions)
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1040-ES Estimated Tax for Individuals
See chapter 5 for information about how to get this publication and form.
If you receive salaries and wages, you can avoid having to pay estimated tax by asking your employer to take more tax out of your earnings. To do this, file a new Form W-4 with your employer. See chapter 1.
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You had no tax liability for 2008.
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You were a U.S. citizen or resident alien for the whole year.
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Your 2008 tax year covered a 12-month period.
If you owed additional tax for 2008, you may have to pay estimated tax for 2009.
You must pay estimated tax for 2009 if both of the following apply.
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You expect to owe at least $1,000 in tax for 2009, after subtracting your withholding and credits.
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You expect your withholding and credits to be less than the smaller of:
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90% of the tax to be shown on your 2009 tax return, or
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100% of the tax shown on your 2008 tax return. Your 2008 tax return must cover all 12 months.
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Note. These percentages may be different if you are an eligible small business, farmer, fisherman, or higher income taxpayer. See Special Rules beginning on page 20.
You may find Figure 2-A on page 20 helpful in determining if you must pay estimated tax.
If all your income will be subject to income tax withholding, you probably do not need to pay estimated tax.Example 1.
To figure whether she should pay estimated tax for 2009, Jane, who files as head of household, uses Figure 2-A and the following information.
Expected adjusted gross income (AGI) for 2009 | $82,800 |
AGI for 2008 | $73,700 |
Tax shown on 2008 return | $ 9,744 |
Tax expected to be shown on 2009 return | $11,640 |
Tax expected to be withheld in 2009 | $10,500 |
Jane's answer to the chart's first question is YES; she expects to owe at least $1,000 for 2009 after subtracting her withholding from her expected tax ($11,640 − $10,500 = $1,140). Her answer to the chart's second question is also YES; she expects her income tax withholding ($10,500) to be at least 90% of the tax to be shown on her 2009 return ($11,640 × 90% = $10,476). Jane does not need to pay estimated tax.
Example 2.
The facts are the same as in Example 1, except that Jane expects only $8,500 tax to be withheld in 2009. Because that is less than $10,476, her answer to the chart's second question is NO.
Jane's answer to the chart's third question is also NO; she does not expect her income tax withholding ($8,500) to be at least 100% of the tax shown on her 2008 return ($9,744). Jane must pay estimated tax for 2009.
If you qualify to make joint estimated tax payments, apply the rules discussed here to your joint estimated income.
You and your spouse can qualify to make joint estimated tax payments even if you are not living together.
However, you and your spouse cannot make joint estimated tax payments if:
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You are legally separated under a decree of divorce or separate maintenance,
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You and your spouse have different tax years, or
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Either spouse is a nonresident alien (unless that spouse elected to be treated as a resident alien). See Choosing Resident Alien Status in Publication 519.
If you do not qualify to make joint estimated tax payments, apply these rules to your separate estimated income.
Making joint or separate estimated tax payments will not affect your choice of filing a joint tax return or separate returns for 2009.
The tax you would have paid had you filed a separate return | ||
The total tax you and your spouse would have paid had you filed separate returns |
Example.
Joe and Heather filed a joint return for 2008 showing taxable income of $48,500 and a tax of $6,476. Of the $48,500 taxable income, $40,100 was Joe's and the rest was Heather's. For 2009, they plan to file married filing separately. Joe figures his share of the tax on the 2008 joint return as follows:
Tax on $40,100 based on separate return | $6,375 | ||
Tax on $8,400 based on separate return | 863 | ||
Total | $7,238 | ||
Joe's percentage of total ($6,375 ÷ $7,238) | 88% | ||
Joe's share of tax on joint return ($6,476 × 88%) |
$5,699 |
There are special rules for eligible small businesses, farmers, fishermen, and certain higher income taxpayers.
If you have an eligible small business, substitute 90% for 100% in (2b) under General Rule on the previous page.
You have an eligible small business if you satisfy the following.
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You certify that more than 50% of your gross income in 2008 was income from a small business.
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The average number of employees for the 2008 calendar year was less than 500.
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Your AGI for 2008 was less than $500,000 ($250,000 if you are married filing separate returns in 2009).
If at least two-thirds of your gross income for 2008 or 2009 is from farming or fishing, substitute 66% for 90% in (2a) under General Rule on the previous page.
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Income from operating a stock, dairy, poultry, bee, fruit, or truck farm.
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Income from a plantation, ranch, nursery, range, orchard, or oyster bed.
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Crop shares for the use of your land.
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Gains from sales of draft, breeding, dairy, or sporting livestock.
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Schedule F (Form 1040), Profit or Loss From Farming, line 11.
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Form 4835, Farm Rental Income and Expenses, line 7.
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Your share of the gross farming income from a partnership, S corporation, estate or trust, from: Schedule K-1 (Form 1065), Box 14, code B; Schedule K-1 (Form 1120S), Box 17, code T; or Schedule K-1 (Form 1041), Box 14, code F.
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Your gains from sales of draft, breeding, dairy, or sporting livestock shown on Form 4797, Sales of Business Property.
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Schedule C (Form 1040), Profit or Loss From Business, line 7.
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Income for services as an officer or crew member of a vessel while the vessel is engaged in fishing.
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Your share of the gross fishing income from a partnership, S corporation, estate or trust, from: Schedule K-1 (Form 1065), Box 14, code B; Schedule K-1 (Form 1120S), Box 17, code T; or Schedule K-1 (Form 1041), Box 14, code F.
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Certain interest and punitive damage awards received in connection with the Exxon Valdez litigation.
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Income for services normally performed in connection with fishing.
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Shore service as an officer or crew member of a vessel engaged in fishing, and
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Services that are necessary for the immediate preservation of the catch, such as cleaning, icing, and packing the catch.
If your AGI for 2008 was more than $150,000 ($75,000 if your filing status for 2009 is married filing a separate return), substitute 110% for 100% in (2b) under General Rule on page 19.
For 2008, AGI is the amount shown on Form 1040, line 37; Form 1040A, line 21; and Form 1040EZ, line 4.
Resident and nonresident aliens also may have to pay estimated tax. Resident aliens should follow the rules in this publication, unless noted otherwise. Nonresident aliens should get Form 1040-ES (NR), U.S. Estimated Tax for Nonresident Alien Individuals.
You are an alien if you are not a citizen or national of the United States. You are a resident alien if you either have a green card or meet the substantial presence test.
See Publication 519 for more information about Form 1040-ES (NR) and withholding (chapter 8) and the substantial presence test (chapter 1).
Estates and trusts also must pay estimated tax. However, estates (and certain grantor trusts that receive the residue of the decedent's estate under the decedent's will) are exempt from paying estimated tax for the first two years after the decedent's death.
Estates and trusts must use Form 1041-ES, Estimated Income Tax for Estates and Trusts, to figure and pay estimated tax.
To figure your estimated tax, you must figure your expected AGI, taxable income, taxes, deductions, and credits for the year.
When figuring your 2009 estimated tax, it may be helpful to use your income, deductions, and credits for 2008 as a starting point. Use your 2008 federal tax return as a guide. You can use Form 1040-ES to figure your estimated tax. Nonresident aliens use Form 1040-ES (NR) to figure estimated tax.
You must make adjustments both for changes in your own situation and for recent changes in the tax law. For 2009, there are several changes in the law. Some of these changes are discussed under What's New for 2009 beginning on page 2. For information about these and other changes in the law, get Publication 553 or visit the IRS website at www.irs.gov.
The instructions for Form 1040-ES include a worksheet to help you figure your estimated tax. Keep the worksheet for your records.
Use the worksheet (Figure 2-B) on page 22 to help guide you through the information about completing the 2009 Estimated Tax Worksheet. You also will find a blank worksheet on page 35.
Your expected AGI for 2009 (line 1) is your expected total income minus your expected adjustments to income.
Reduce your expected AGI for 2009 (line 1) by either your expected itemized deductions or your standard deduction and by your exemptions (lines 2 through 5).
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File a separate return and your spouse itemizes deductions,
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Are a dual-status alien, or
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File a return for a period of less than 12 months because you change your accounting period.
Single | $166,800 |
Married filing jointly or qualifying widow(er) | $250,200 |
Married filing separately | $125,100 |
Head of household | $208,500 |
If you expect your AGI to be more than that amount, use Worksheet 2-5 on page 39 to figure the amount to enter on line 4.
However, if in 2009 you housed individuals displaced by a Midwestern disaster, read the following section and complete Worksheet 2-6 on page 40 before entering an amount on line 4.
Taxpayers housing individuals displaced by a Midwestern disaster. You may be able to claim an additional exemption amount of $500 per person (up to $2,000) if you provided housing to a person who was displaced from his or her main home because of a Midwestern disaster and all of the following apply.-
The person displaced lived in your main home for at least 60 consecutive days that ended in 2009.
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You did not receive any rent or other amount from any source for providing the housing.
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The main home of the person displaced was in a Midwestern disaster area on the applicable disaster date for that county.
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The person displaced was not your spouse or dependent.
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You did not claim an additional exemption amount in 2008 for the same individual.
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You did not claim the maximum exemption amount of $2,000 in 2008.
After you have figured your expected taxable income (line 5), follow the steps below to figure your expected taxes, credits, and total tax for 2009. Most people will have entries for only a few of these steps. However, you should check every step to be sure you do not overlook anything.
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Children under age 18 at the end of 2009.
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The following children if their earned income is not more than half their support.
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Children age 18 at the end of 2009.
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Children who are full-time students over age 18 and under age 24 at the end of 2009.
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Your tax on line 6;
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Your expected alternative minimum tax (AMT) from Form 6251 (or included on Form 1040A, line 28) on line 7;
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Your expected additional taxes from Form 8814, Parents' Election To Report Child's Interest and Dividends, and Form 4972, Tax on Lump-Sum Distributions (line 44, boxes a and b, of the 2008 Form 1040); and
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Any recapture of education credits.
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Additional tax on early distributions from:
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An IRA or other qualified retirement plan,
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A tax-sheltered annuity, or
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A modified endowment contract entered into after June 20, 1988;
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Advance earned income credit payments;
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Household employment taxes (before subtracting advance EIC payments made to your employee(s)) if:
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You will have federal income tax withheld from wages, pensions, annuities, gambling winnings, or other income, or
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You would be required to make estimated tax payments even if you did not include household employment taxes when figuring your estimated tax; and
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Amounts written in on Form 1040 on the line for “total tax” (line 61 on the 2008 Form 1040). But, do not include tax on recapture of a federal mortgage subsidy, tax on golden parachute payments, look-back interest due under section 167(g) or 460(b) of the Internal Revenue Code, excise tax on insider stock compensation from an expatriated corporation, or uncollected employee social security, Medicare, or RRTA tax on tips or group-term life insurance.
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Repayment of the first-time homebuyer credit if the home will cease to be your main home in 2009. See Form 5405 for exceptions.
On lines 14a through 14c, figure the total amount you must pay for 2009, through withholding and estimated tax payments, to avoid paying a penalty.
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90% of your total expected tax for 2009, or
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100% of the total tax shown on your 2008 return. Your 2008 tax return must cover all 12 months.
For 2008, AGI is the amount shown on Form 1040, line 37; Form 1040A, line 21; and Form 1040EZ, line 4.
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66% (.6667) of your total tax for 2009, or
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100% of the total tax shown on your 2008 return. (Your 2008 tax return must cover all 12 months.)
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The amounts on lines 58, 64a, 66, and 69.
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The following amounts from Form 5329 included on line 59.
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Any tax on excess contributions to IRAs, Archer MSAs, Coverdell education savings accounts, and health savings accounts.
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Any tax on excess accumulations in qualified retirement plans.
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The following amounts included on line 61.
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Recapture of a federal mortgage subsidy.
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Tax on golden parachute payments.
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Look-back interest due under section 167(g) or 460(b) of the Internal Revenue Code.
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Excise tax on insider stock compensation from an expatriated corporation.
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Uncollected employee social security, Medicare, or railroad retirement tax on tips or group-term life insurance.
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Any credit from Form 4136, Form 8801, or Form 8885 included on line 68.
Use lines 15 and 16a to figure the total estimated tax you must pay for 2009. Subtract your expected withholding from your required annual payment (line 14c). You usually must pay this difference in four equal installments. See When To Pay Estimated Tax on this page and How To Figure Each Payment on page 25.
You do not have to pay estimated tax if:
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Line 14c minus line 15 is zero or less, or
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Line 13c minus line 15 is less than $1,000.
For estimated tax purposes, the year is divided into four payment periods. Each period has a specific payment due date. If you do not pay enough tax by the due date of each of the payment periods, you may be charged a penalty even if you are due a refund when you file your income tax return. The payment periods and due dates for estimated tax payments are shown next.
For the period: | Due date: | |
Jan. 11 – March 31 | April 15 | |
April 1 – May 31 | June 15 | |
June 1 – August 31 | September 15 | |
Sept. 1 – Dec. 31 | January 15 next year2 |
1If your tax year does not begin on January 1, see Fiscal year taxpayers below. |
2See January payment below. |
Example.
Janet Adams does not pay any estimated tax for 2009. She files her 2009 income tax return and pays the balance due shown on her return on January 26, 2010.
Janet's estimated tax for the fourth payment period is considered to have been paid on time. However, she may owe a penalty for not making the first three estimated tax payments. Any penalty for not making those payments will be figured up to January 26, 2010.
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The 15th day of the 4th month of your fiscal year,
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The 15th day of the 6th month of your fiscal year,
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The 15th day of the 9th month of your fiscal year, and
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The 15th day of the 1st month after the end of your fiscal year.
You do not have to make estimated tax payments until you have income on which you will owe the tax. If you have income subject to estimated tax during the first payment period, you must make your first payment by the due date for the first payment period. You can pay all your estimated tax at that time, or you can pay it in installments. If you choose to pay in installments, make your first payment by the due date for the first payment period. Make your remaining installment payments by the due dates for the later periods.
Table 2-1.Due Dates for Estimated Tax Installment Payments
If you first have income on which you must pay estimated tax: | Make a payment by:* |
Make later installments by:* |
Before April 1 | April 15 | June 15 |
Sept. 15 | ||
Jan. 15 next year | ||
April 1–May 31 | June 15 | Sept. 15 |
Jan. 15 next year | ||
June 1–Aug. 31 | Sept. 15 | Jan. 15 next year |
After Aug. 31 | Jan. 15 next year |
(None) |
If at least two-thirds of your gross income for 2008 or 2009 is from farming or fishing, you have only one payment due date for your 2009 estimated tax, January 15, 2010. The due dates for the first three payment periods, discussed under When To Pay Estimated Tax on this page, do not apply to you.
If you file your 2009 Form 1040 by March 1, 2010, and pay all the tax you owe, you do not need to make an estimated tax payment.
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Pay all your estimated tax by the 15th day after the end of your tax year, or
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File your return and pay all the tax you owe by the 1st day of the 3rd month after the end of your tax year.
After you have figured your total estimated tax, figure how much you must pay by the due date of each payment period. You should pay enough by each due date to avoid a penalty for that period. If you do not pay enough during any payment period, you may be charged a penalty even if you are due a refund when you file your tax return. The penalty is discussed in chapter 4.
If your first estimated tax payment is due April 15, 2009, you can figure your required payment for each period by dividing your annual estimated tax due (line 16a of the 2009 Estimated Tax Worksheet) by 4. Enter this amount on line 17. However, use this method only if your income is basically the same throughout the year.
If you do not receive your income evenly throughout the year, your required estimated tax payments may not be the same for each period. See Annualized Income Installment Method on this page.
Amended estimated tax. If you refigure your estimated tax during the year, or if your first estimated tax payment is due after April 15, 2009, figure your required payment for each remaining payment period using Worksheet 2-16 on page 48.Example.
Early in 2009, Mira Roberts figures that her estimated tax due is $1,800. She makes estimated tax payments on April 15 and June 15 of $450 each ($1,800 ÷ 4).
On July 10, she sells investment property at a gain. Her refigured estimated tax is $4,100. Her required estimated tax payment for the third payment period is $2,175, as shown in her filled-in Worksheet 2-16 on this page.
If Mira's estimated tax does not change again, her required estimated tax payment for the fourth payment period will be $1,025.
Worksheet 2-16.Amended Estimated Tax Worksheet—Illustrated
1. | Amended total estimated tax due | 1. | $4,100 | |||
2. | Multiply line 1 by: | |||||
50% (.50) if next payment is due June 15, 2009 | ||||||
75% (.75) if next payment is due September 15, 2009 | ||||||
100% (1.00) if next payment is due January 15, 2010 | 2. | 3,075 | ||||
3. | Estimated tax payments for all previous periods | 3. | 900 | |||
4. | Next required payment: Subtract line 3 from line 2 and enter the result (but not less than zero) here and on your payment voucher for your next required payment | 4. | $2,175 | |||
Note.If the payment on line 4 is due January 15, 2010, stop here. Otherwise, go to line 5. | ||||||
5. | Add lines 3 and 4 | 5. | 3,075 | |||
6. | Subtract line 5 from line 1 and enter the result (but not less than zero) | 6. | 1,025 | |||
7. | Each following required payment: If the payment on line 4 is due June 15, 2009, enter one-half of the amount on line 6 here and on the payment vouchers for your payments due September 15, 2009, and January 15, 2010. If the amount on line 4 is due September 15, 2009, enter the full amount on line 6 here and on the payment voucher for your payment due January 15, 2010 | 7. | $1,025 |
If you do not receive your income evenly throughout the year (for example, your income from a repair shop you operate is much larger in the summer than it is during the rest of the year), your required estimated tax payment for one or more periods may be less than the amount figured using the regular installment method.
The annualized income installment method annualizes your tax at the end of each period based on a reasonable estimate of your income, deductions, and other items relating to events that occurred from the beginning of the tax year through the end of the period. To see whether you can pay less for any period, complete the 2009 Annualized Estimated Tax Worksheet (Worksheet 2-10) beginning on page 44.
You first must complete the 2009 Estimated Tax Worksheet through line 16b. (See page 35 for a blank worksheet.)Use the result you figure on line 28 of the 2009 Annualized Estimated Tax Worksheet to make your estimated tax payments and complete your payment vouchers.
See Example 2, beginning on page 30, to see how the worksheet is completed.
Note.
If you use the annualized income installment method to figure your estimated tax payments, you must file Form 2210 with your 2009 tax return. See Annualized Income Installment Method (Schedule AI) in chapter 4 for more information.
The purpose of this worksheet is to determine your estimated tax liability as your income accumulates throughout the year, rather than dividing your entire year's estimated tax liability by four as if your income was earned equally throughout the year. The top of the worksheet (see page 27) shows the dates for each payment period. The periods build; that is, each period includes all previous periods. After the end of each payment period, complete the corresponding worksheet column to figure the payment due for that period.
Single | $166,800 | ||
Married filing jointly or qualifying widow(er) |
$250,200 | ||
Married filing separately | $125,100 | ||
Head of household | $208,500 |
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Children under age 18 at the end of 2009.
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The following children if their earned income is not more than half their support.
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Children age 18 at the end of 2009.
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Children who are full-time students over age 18 and under age 24 at the end of 2009.
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Additional tax on early distributions from:
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An IRA or other qualified retirement plan,
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A tax-sheltered annuity, or
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A modified endowment contract entered into after June 20, 1988;
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Advance earned income credit payments;
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Household employment taxes (before subtracting advance EIC payments made to your employee(s)) if:
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You will have federal income tax withheld from wages, pensions, annuities, gambling winnings, or other income, or
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You would be required to make estimated tax payments even if you did not include household employment taxes when figuring your estimated tax; and
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Amounts written in on Form 1040 on the line for “total tax” (line 61 on the 2008 Form 1040). But do not include tax on recapture of a federal mortgage subsidy, tax on golden parachute payments, look-back interest due under section 167(g) or 460(b) of the Internal Revenue Code, excise tax on insider stock compensation from an expatriated corporation, or uncollected employee social security, Medicare, or RRTA tax on tips or group-term life insurance.
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Repayment of the first-time homebuyer credit if the home will cease to be your main home in 2009. See Form 5405 for exceptions.
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Tax from Form 4972.
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Tax from Form 8814.
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Tax from recapture of an education credit.
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Use Form 6251 to see if you also owe the alternative minimum tax (AMT). Figure alternative minimum taxable income based on your income and deductions during the period shown in the column headings. Multiply this amount by the annualization amounts shown for each column on line 2 of the 2009 Annualized Estimated Tax Worksheet (Worksheet 2-10). Include any AMT owed in the amount on line 14 of this worksheet.
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25% (.25) for the first period,
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50% (.50) for the second period,
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75% (.75) for the third period, and
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100% (1.00) for the fourth period.
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Skip column (a).
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On line 1, enter your income for the period that is effectively connected with a U.S. trade or business.
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On line 17, increase your entry by the amount determined by multiplying your income for the period that is not effectively connected with a U.S. trade or business by the following.
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72% for column (b).
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45% for column (c).
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30% for column (d).
However, if you can use a treaty rate lower than 30%, use the percentages determined by multiplying your treaty rate by 2.4, 1.5, and 1, respectively.
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On line 22, enter one-half of the amount from line 16c of the Form 1040-ES (NR) 2009 Estimated Tax Worksheet in column (b), and one-fourth in columns (c) and (d).
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On lines 20 and 23, skip column (b).
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On line 27, if you do not use the actual withholding method, include one-half of your total expected withholding in column (b) and one-fourth in columns (c) and (d).
You do not have to pay estimated tax if your withholding in each payment period is at least as much as:
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One-fourth of your required annual payment, or
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Your required annualized income installment for that period.
You also do not have to pay estimated tax if you will pay enough through withholding to keep the amount you will owe with your return under $1,000.
There are five ways to pay estimated tax.
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Credit an overpayment on your 2008 return to your 2009 estimated tax.
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Send in your payment (check or money order) with a payment voucher from Form 1040-ES.
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Pay electronically using the Electronic Federal Tax Payment System (EFTPS).
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Pay by electronic funds withdrawal if you are filing Form 1040 or Form 1040A electronically.
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Pay by credit card using a pay-by-phone system or the Internet.
If you show an overpayment of tax after completing your Form 1040 or Form 1040A for 2008, you can apply part or all of it to your estimated tax for 2009. On line 74 of Form 1040, or line 46 of Form 1040A, enter the amount you want credited to your estimated tax rather than refunded. Take the amount you have credited into account when figuring your estimated tax payments. If you timely file your 2008 return, treat the credit as a payment made on April 15, 2009.
If you are a beneficiary of an estate or trust, and the trustee elects to credit 2009 trust payments of estimated tax to you, you can treat the amount credited as paid by you on January 15, 2010.
If you choose to have an overpayment of tax credited to your estimated tax, you cannot have any of that amount refunded to you until you file your tax return for the following year. You also cannot use that overpayment in any other way.
Example.
When Kathleen finished filling out her 2008 tax return, she saw that she had overpaid her taxes by $750. Kathleen knew she would owe additional tax in 2009. She credited $600 of the overpayment to her 2009 estimated tax and had the remaining $150 refunded to her.
In September, she amended her 2008 return by filing Form 1040X, Amended U.S. Individual Income Tax Return. It turned out that she owed $250 more in tax than she had thought. This reduced her 2008 overpayment from $750 to $500. Because the $750 had already been applied to her 2009 estimated tax or refunded to her, the IRS billed her for the additional $250 she owed, plus penalties and interest. Kathleen could not use any of the $600 she had credited to her 2009 estimated tax to pay this bill.
Each payment of estimated tax by check or money order must be accompanied by a payment voucher from Form 1040-ES. If you made estimated tax payments last year, you should receive a copy of the 2009 Form 1040-ES in the mail unless you used a paid tax preparer. It will have payment vouchers preprinted with your name, address, and social security number. Using the preprinted vouchers will speed processing, reduce the chance of error, and help save processing costs.
If you did not pay estimated tax last year, you will have to get a copy of Form 1040-ES from the IRS (see chapter 5). Follow the instructions in the package to make sure you use the vouchers correctly.
Use the window envelopes that came with your Form 1040-ES package. If you use your own envelopes, make sure you mail your payment vouchers to the address shown in the Form 1040-ES instructions for the place where you live.
Do not use the address shown in the Form 1040 or Form 1040A instructions.If you file a joint return and are making joint estimated tax payments, enter the names and social security numbers on the payment voucher in the same order as they will appear on the joint return.
EFTPS is a free tax payment system where you input your tax payment information electronically, online or by phone. Through EFTPS, you can schedule one-time or recurring payments for withdrawal from your checking or savings account up to 365 days in advance. You also can modify or cancel payments up to 2 business days before the scheduled withdrawal date. To use EFTPS, you must enroll. Enroll online at www.eftps.gov or call 1-800-555-4477 (for business accounts) or 1-800-316-6541 (for individual accounts) to receive an enrollment form and instructions by mail. TTY/TDD help is available by calling 1-800-733-4829. Call 1-800-244-4829 for Spanish.
If you electronically file your 2008 tax return, you can use EFW to make up to four (4) 2009 estimated tax payments. This is a free option. The payments can be withdrawn from either a checking or savings account. At the same time you file your return, you can schedule estimated tax payments for any or all of the following dates: April 15, 2009, June 15, 2009, September 15, 2009, and January 15, 2010.
Check with your tax return preparer or tax preparation software for details. Your scheduled payments will be acknowledged when you file your tax return.
Payments scheduled through EFW can be cancelled up to 8 p.m. Eastern time, 2 business days before the scheduled payment date, by contacting the U.S. Treasury Financial Agent at 1-888-353-4537.
You can use your American Express® Card, Discover® Card, MasterCard® card, or Visa® card to make estimated tax payments. Call toll-free or visit the website of either service provider listed below and follow the instructions. A convenience fee will be charged by the service provider based on the amount you are paying. Fees may vary between providers. You will be told what the fee is during the transaction and you will have the option to either continue or cancel the transaction. You also can find out what the fee will be by calling the provider's toll-free automated customer service number or visiting the provider's website shown below.
Official Payments Corporation
1-800-2PAY-TAXSM (1-800-272-9829)
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The following examples show how to figure estimated tax payments under the regular installment method and under the annualized income installment method.
Early in 2009, Anne and Larry Jones figure their estimated tax payments for the year. They expect to receive the following income during 2009.
Larry's salary | $39,900 |
State tax refund (they itemized deductions in 2008) | 600 |
Anne's net profit from self-employment | 40,100 |
Net rental income | 2,784 |
Interest income | 6,205 |
Total | $89,589 |
They also use the following expected items to figure their estimated tax.
Adjustment to income for IRA contributions | $ 1,000 |
Itemized deductions | 11,825 |
Deduction for exemptions ($3,650 × 2) | 7,300 |
2008 total tax | 14,347 |
Making Work Pay credit | 800 |
Withholding | 3,372 |
The Joneses plan to file a joint return. They use the 2009 Estimated Tax Worksheet included in Form 1040-ES to figure their estimated tax payments. See their filled-in worksheet (Figure 2-D) on page 31.
Worksheet 2-2. 2009 Estimated Tax Worksheet—Lines 1 and 11 Expected Self-Employment Tax and Deduction —Illustrated (Anne Jones)
1. | a. | Enter your expected income and profits subject to self-employment tax* | 1a. | $40,100 | ||
b. | If you will have farm income and also receive social security retirement or disability benefits, enter your expected Conservation Reserve Program payments that will be included on Schedule F (Form 1040) or listed on Schedule K-1 (Form 1065) | 1b. | ||||
2. | Subtract line 1b from line 1a | 2. | 40,100 | |||
3. | Multiply line 2 by 92.35% (.9235) | 3. | 37,032 | |||
4. | Multiply line 3 by 2.9% (.029) | 4. | 1,074 | |||
5. | Social security tax maximum income | 5. | $106,800 | |||
6. | Enter your expected wages (if subject to social security tax or the 6.2% portion of tier 1 railroad retirement tax) | 6. | -0- | |||
7. | Subtract line 6 from line 5 | 7. | 106,800 | |||
Note.If line 7 is zero or less, enter -0- on line 9 and skip to line 10. | ||||||
8. | Enter the smaller of line 3 or line 7 | 8. | 37,032 | |||
9. | Multiply line 8 by 12.4% (.124) | 9. | 4,592 | |||
10. | Add line 4 and line 9. Enter the result here and on line 11 of your 2009 Estimated Tax Worksheet (or line 13 of the Annualized ES Worksheet (Worksheet 2-10)) | 10. | $5,666 | |||
11. | Multiply line 10 by 50% (.50). This is your expected deduction for one-half of your self-employment tax. Subtract this amount when figuring your expected AGI on line 1 of your 2009 Estimated Tax Worksheet (or Annualized Estimated Tax Worksheet (Worksheet 2-10)) | 11. | $2,833 |
*Your net profit from self-employment is found on Schedule C, line 31; Schedule C-EZ, line 3; Schedule F, line 36; Schedule K-1 (Form 1065), box 14, code A; and Schedule K-1 (Form 1065-B), box 9, code J1. |
-
Less than their “required annual payment to avoid a penalty” (line 14c), and
-
Not within $1,000 of their “total 2009 estimated tax” (line 13c).
The facts are the same as in Example 1—Regular Installment Method, except that the Joneses do not expect to receive their income evenly throughout the year. Anne expects to receive the largest portion of her self-employment income during the last few months of the year, and the Joneses' rental income is from a vacation home rented only in the summer months.
After completing their 2009 Estimated Tax Worksheet, the Joneses decide to use the annualized income installment method to see if they can pay less than $2,313 estimated tax for one or more payment periods. They complete the 2009 Annualized Estimated Tax Worksheet (Worksheet 2-10) in this chapter. See their filled-in worksheet (Figure 2-E) on pages 32 and 33.
On April 1, 2009, the Joneses complete the first column of the worksheet for the period January 1 through March 31. They had the following income for the period.
Larry's salary | $9,975 |
State tax refund | 600 |
Anne's net profit from self-employment | 3,000 |
Net rental income | -0- |
Interest income | 990 |
Total | $14,565 |
They also take into account the following items for the period.
Adjustment to income for IRA contributions | $ 150 |
Itemized deductions | 1,375 |
Making Work Pay credit | 800 |
Withholding | 843 |
After the end of each remaining payment period, the Joneses complete the column of the worksheet for that period (from the beginning of the year through the end of that payment period) in the same way they did for the first period. They had the following income for each period.
Second Period |
Third Period |
Fourth Period |
|
Jan. 1- May 31 |
Jan. 1- Aug. 31 |
Jan. 1- Dec. 31 |
|
Larry's salary | $16,625 | $26,600 | $39,900 |
State tax refund | 600 | 600 | 600 |
Anne's net profit from self-employment | 6,000 | 16,000 | 40,100 |
Net rental income | 696 | 2,784 | 2,784 |
Interest income | 1,575 | 3,250 | 6,205 |
Total | $25,496 | $49,234 | $89,589 |
They also take into account the following items for each period.
Second Period |
Third Period |
Fourth Period |
|
Jan. 1- May 31 |
Jan. 1- Aug. 31 |
Jan. 1- Dec. 31 |
|
Adjustment to income for IRA contributions | $ 250 | $ 400 | $1,000 |
Itemized deductions | 3,120 | 7,250 | 11,825 |
Making Work Pay credit | 800 | 800 | 800 |
Withholding | 843 | 843 | 843 |
For the second period, as for the first, the annualized income installment method allows the Joneses to pay less than their required payment under the regular installment method of figuring estimated tax payments. They make up the difference in the third and fourth periods when their income is higher.
Because the Joneses are using the annualized income installment method, they must file Form 2210 with their tax return for 2009.
Table 2-2.Where To Find Worksheets Use the following worksheets and tables to figure your correct estimated tax.
IF you need... | THEN use... | ON page... |
the 2009 Estimated Tax Worksheet (ES Worksheet) | 22, 35 | |
to estimate your taxable social security and railroad retirement benefits—line 1 of ES Worksheet (or Annualized ES Worksheet (Worksheet 2-10)) | Worksheet 2-1 | 36 |
to estimate your self-employment (SE) tax and your deduction for one-half of your SE tax—lines 1 and 11 of ES Worksheet (lines 1 and 13 of Annualized ES Worksheet (Worksheeet 2-10)) | Worksheet 2-2 | 37 |
to estimate your standard deduction—line 2 of ES Worksheet (line 7 of Annualized ES Worksheet (Worksheet 2-10)) | Worksheet 2-3 | 38 |
to reduce your itemized deductions because your estimated AGI is more than $166,800 ($83,400 if married filing separately)—line 2 of ES Worksheet | Worksheet 2-4 | 39 |
to reduce your exemption amount because your estimated AGI is more than $125,100— line 4 of ES Worksheet | Worksheet 2-5 | 39 |
to estimate your additional exemption amount if you house individuals displaced by a Midwestern disaster—line 4 of ES Worksheet (line 10 of Annualized ES Worksheet (Worksheet 2-10)) | Worksheet 2-6 | 40 |
to estimate your income tax if line 1 of your ES Worksheet includes a net capital gain or qualified dividends—line 6 of ES Worksheet | Worksheet 2-7 | 41 |
to estimate your income tax if you expect to claim a foreign earned income exclusion or foreign housing exclusion or deduction on Form 2555 or Form 2555-EZ—line 6 of ES Worksheet | Worksheet 2-8 | 42 |
to estimate your Making Work Pay credit—line 13b of ES Worksheet | Worksheet 2-9 | 43 |
the 2009 Annualized Estimated Tax Worksheet (Annualized ES Worksheet) | Worksheet 2-10 | 44–45 |
to reduce your itemized deductions because your estimated annualized AGI is more than $166,800 ($83,400 if married filing separately)—line 6 of Annualized ES Worksheet | Worksheet 2-11 | 45 |
to reduce your exemption amount because your estimated annualized AGI is more than $125,100—line 10 of Annualized ES Worksheet | Worksheet 2-12 | 46 |
to estimate your income tax if line 1 of your Annualized ES Worksheet includes a net capital gain or qualified dividends—line 12 of Annualized ES Worksheet | Worksheet 2-13 | 47 |
to estimate your income tax if you expect to claim a foreign earned income exclusion or foreign housing exclusion or deduction on Form 2555 or Form 2555-EZ—line 12 of Annualized ES Worksheet | Worksheet 2-14 | 48 |
to estimate your Making Work Pay credit—line 16 of Annualized ES Worksheet | Worksheet 2-15 | 49 |
to refigure (amend) your estimated tax during the year | Worksheet 2-16 | 48 |
2009 Tax Rate Schedules | 40 |
Worksheet 2-1.2009 Estimated Tax Worksheet—Line 1 Estimated Taxable Social Security and Railroad Retirement Benefits
1. | Enter your expected social security and railroad retirement benefits | 1. | |||
2. | Enter one-half of line 1 | 2. | |||
3. | Enter your expected total income. Do not include any social security and railroad retirement benefits, nontaxable interest income, nontaxable IRA distributions, or nontaxable pension distributions | 3. | |||
4. | Enter your expected nontaxable interest income | 4. | |||
5. | Enter the total of any exclusions or adjustments for:
|
5. | |||
6. | Add lines 2, 3, 4, and 5 | 6. | |||
7. | Enter your expected adjustments to income. Do not include any student loan interest deduction, tuition and fees deduction, or domestic production activities deduction | 7. | |||
8. | Subtract line 7 from line 6. If zero or less, stop here. Do not include any social security or railroad retirement benefits in the amount on line 1 of your 2009 Estimated Tax Worksheet (or Annualized ES Worksheet (Worksheet 2-10)) | 8. | |||
9. | Enter $25,000 ($32,000 if you expect to file married filing jointly; $0 if you expect to file married filing separately and expect to live with your spouse at any time during the year) | 9. | |||
10. | Subtract line 9 from line 8. If zero or less, stop here. Do not include any social security or railroad retirement benefits in the amount on line 1 of your 2009 Estimated Tax Worksheet (or Annualized ES Worksheet (Worksheet 2-10)) | 10. | |||
11. | Enter $9,000 ($12,000 if you expect to file married filing jointly; $0 if you expect to file married filing separately and expect to live with your spouse at any time during the year) | 11. | |||
12. | Subtract line 11 from line 10. If zero or less, enter -0- | 12. | |||
13. | Enter the smaller of line 10 or line 11 | 13. | |||
14. | Enter one-half of line 13 | 14. | |||
15. | Enter the smaller of line 2 or line 14 | 15. | |||
16. | Multiply line 12 by 85% (.85). If line 12 is zero, enter -0- | 16. | |||
17. | Add lines 15 and 16 | 17. | |||
18. | Multiply line 1 by 85% (.85) | 18. | |||
19. | Expected taxable social security and railroad retirement benefits. Enter the smaller of line 17 or line 18. Include this amount in the total on line 1 of your 2009 Estimated Tax Worksheet (or Annualized ES Worksheet (Worksheet 2-10)) | 19. |
Worksheet 2-2.2009 Estimated Tax Worksheet—Lines 1 and 11 Estimated Self-Employment Tax and Deduction
1. | a. | Enter your expected income and profits subject to self-employment tax* | 1a. | . | ||
b. | If you will have farm income and also receive social security retirement or disability benefits, enter your expected Conservation Reserve Program payments that will be included on Schedule F (Form 1040) or listed on Schedule K-1 (Form 1065) | 1b. | ||||
2. | Subtract line 1b from line 1a | 2. | ||||
3. | Multiply line 2 by 92.35% (.9235) | 3. | ||||
4. | Multiply line 3 by 2.9% (.029) | 4. | ||||
5. | Social security tax maximum income | 5. | $106,800 | |||
6. | Enter your expected wages (if subject to social security tax or the 6.2% portion of tier 1 railroad retirement tax) |
6. | ||||
7. | Subtract line 6 from line 5 | 7. | ||||
Note. If line 7 is zero or less, enter -0- on line 9 and skip to line 10. | ||||||
8. | Enter the smaller of line 3 or line 7 | 8. | ||||
9. | Multiply line 8 by 12.4% (.124) | 9. | ||||
10. | Add line 4 and line 9. Enter the result here and on line 11 of your 2009 Estimated Tax Worksheet (or line 13 of the Annualized ES Worksheet (Worksheet 2-10)) | 10. | ||||
11. | Multiply line 10 by 50% (.50). This is your expected deduction for one-half of your self-employment tax. Subtract this amount when figuring your expected AGI on line 1 of your 2009 Estimated Tax Worksheet (or Annualized ES Worksheet (Worksheet 2-10)) | 11. |
Worksheet 2-3. 2009 Estimated Tax Worksheet—Line 2 Standard Deduction Worksheet
1. | Enter the amount shown below for your filing status. | ||||||||
•Single or married filing separately—$5,700 | |||||||||
•Married filing jointly or Qualifying widow(er)—$11,400 | |||||||||
•Head of household—$8,350 | 1. | ||||||||
2. | Can you (or your spouse if filing jointly) be claimed as a dependent? | ||||||||
No. | Skip line 3; enter the amount from line 1 on line 4. | ||||||||
Yes. | Go to line 3. | ||||||||
3. | Is your earned income* more than $650? | ||||||||
Yes. | Add $300 to your earned income. Enter the total. | ||||||||
No. | Enter $950 | 3. | |||||||
4. | Enter the smaller of line 1 or line 3 | 4. | |||||||
5. | Were you (or your spouse if filing jointly) born before January 2, 1945, or blind? | ||||||||
No. | Go to line 6. | ||||||||
Yes. | Check if: | ||||||||
a. You were Born before January 2, 1945 Blind | |||||||||
b. Your spouse was Born before January 2, 1945 Blind | |||||||||
c. Total boxes checked in 5a and 5b | |||||||||
▸ | Multiply $1,100 ($1,400 if single or head of household) by the number in the box on line 5c | 5. | |||||||
Before you continue: If you will have deductions for net disaster losses, real estate taxes, or taxes on the purchase of a qualified motor vehicle, complete lines 6–10k as appropriate. If not, skip to line 11. |
|||||||||
6. | Enter any net disaster loss you expect to claim on Form 4684, line 18a | 6. | |||||||
7. | Enter the state and local real estate taxes you expect to pay in 2009 that would be deductible on Schedule A, line 6, if you were itemizing your deductions. Do not include foreign real estate taxes | 7. | |||||||
8. | Enter $500 ($1,000 if married filing jointly) | 8. | |||||||
9. | Enter the smaller of line 7 or line 8 | 9. | |||||||
10. | a. | Enter the total of the state or local sales or excise taxes you expect to pay in 2009 for the purchase of a qualified motor vehicle** | 10a. | ||||||
b. | Enter the purchase price of the qualified motor vehicle | 10b. | |||||||
c. | Is the amount in line 10b more than $49,500? | ||||||||
No. | Skip this line and enter the amount from line10a on line 10d. | ||||||||
Yes. | Divide $49,500 by the amount on line 10b. Enter the result as a decimal (rounded to at least three places) |
10c. | . | ||||||
d. | Multiply line 10a by line 10c | 10d. | |||||||
e. | Enter the amount from line 1 of your 2009 Estimated Tax Worksheet (or Worksheet 2-10) | 10e. | |||||||
f. | Enter the total of any expected:
|
10f. | |||||||
g. | Add lines 10e and 10f | 10g. | |||||||
h. | Is the amount on line 10g more than $125,000 ($250,000 if married filing jointly)? | ||||||||
No. | Skip lines 10h and 10i, enter -0- on line 10j, and go to line 10k. |
||||||||
Yes. | Subtract $125,000 ($250,000 if married filing jointly) from line 10g |
10h. | |||||||
i. | Divide line 10h by $10,000. Enter the result as a decimal (rounded to at least three places). If the result is 1.000 or more, enter 1.000 |
10i. | . | ||||||
j. | Multiply line 10d by line 10i | 10j. | |||||||
k. | Sales and excise taxes on qualified motor vehicle purchases. Subtract line 10j from line 10d. Enter the result here |
10k. | |||||||
11. | Standard deduction. Add lines 4, 5, 6, 9, and 10k. Enter the result here and on line 2 of your 2009 Estimated Tax Worksheet (or line 7 of your 2009 Annualized Estimated Tax Worksheet (Worksheet 2-10)) | 11. |
* Earned incomeincludes wages, salaries, tips, professional fees, and other compensation received for personal services you performed. It
also includes any amount received as a scholarship that you must include in your income. Reduce it by one-half your self-employment
tax. ** Qualified motor vehicleincludes certain new cars or light trucks, motorcycles, or motor homes that you purchase. For details, see Publication 553. |
Worksheet 2-4.2009 Estimated Tax Worksheet—Line 2 Phaseout of Itemized Deductions
1. | Enter the estimated total of your itemized deductions (after applying any limits, such as the 7.5%-of-AGI limit on medical expenses) | 1. | |||
2. | Enter the amount included in line 1 for medical and dental expenses, investment interest, casualty or theft losses, and gambling losses (after applying the same limits used in line 1) | 2. | |||
3. | Subtract line 2 from line 1 | 3. | |||
Note. If line 3 is zero or less, your deduction is not limited. Stop here and enter line 1 of this worksheet on line 2 of your 2009 Estimated Tax Worksheet. | |||||
4. | Multiply line 3 by 80% (.80) | 4. | |||
5. | Enter the amount from line 1 of the 2009 Estimated Tax Worksheet | 5. | |||
6. | Enter $166,800 ($83,400 if married filing separately) | 6. | |||
7. | Subtract line 6 from line 5 | 7. | |||
Note. If line 7 is zero or less, your deduction is not limited. Stop here and enter line 1 of this worksheet on line 2 of your 2009 Estimated Tax Worksheet. | |||||
8. | Multiply line 7 by 3% (.03). Enter the result as a decimal | 8. | . | ||
9. | Enter the smaller of line 4 or line 8 | 9. | |||
10. | Divide line 9 by 1.5 | 10. | |||
11. | Subtract line 10 from line 9 | 11. | |||
12. | Total itemized deductions. Subtract line 11 from line 1. Enter the result here and on line 2 of your 2009 Estimated Tax Worksheet | 12. |
Worksheet 2-5.2009 Estimated Tax Worksheet—Line 4 Reduction of Exemption Amount
1. | Multiply $3,650 by the number of exemptions you plan to claim | 1. | ||||
2. | Enter the amount from line 1 of your 2009 Estimated Tax Worksheet | 2. | ||||
3. | Enter the amount shown below for your filing status. | |||||
Single—$166,800 | ||||||
Married filing jointly or qualifying widow(er)—$250,200 | ||||||
Married filing separately—$125,100 | ||||||
Head of household—$208,500 | 3. | |||||
4. | Subtract line 3 from line 2 | 4. | ||||
5. | Is line 4 more than $122,500 ($61,250 if married filing separately)? | |||||
Yes. Multiply $2,433 by the number of exemptions you plan to claim and enter the result here and on line 4 of your 2009 Estimated Tax Worksheet. Do not complete the rest of this worksheet. | ||||||
No. Divide line 4 by $2,500 ($1,250 if married filing separately). If the result is not a whole number, increase it to the next higher whole number (for example, increase 0.0004 to 1) | 5. | |||||
6. | Multiply line 5 by 2% (.02). Enter the result as a decimal | 6. | . | |||
7. | Multiply line 1 by line 6 | 7. | ||||
8. | Divide line 7 by 3.0 | 8. | ||||
9. | Deduction for exemptions. Subtract line 8 from line 1. Enter the result here and on line 4 of your 2009 Estimated Tax Worksheet. Caution. If you expect to house individuals displaced by a Midwestern disaster, enter the result on line 5 of Worksheet 2-6 and not on your 2009 Estimated Tax Worksheet | 9. |
Worksheet 2-6.2009 Estimated Tax Worksheet—Line 4 Additional Exemption Amount for Taxpayers Housing Midwestern Displaced Individuals
1. | Maximum additional exemption amount. Enter $2,000 ($1,000 if married filing separately) | 1. | ||||
2. | Did you file Form 8914 in 2008? | |||||
Yes. Enter the additional exemption amount claimed in 2008 from Form 8914, line 2. |
||||||
No. Enter -0- | 2. | |||||
3. | Subtract line 2 from line 1. This is the maximum additional exemption amount you can claim in 2009 | 3. | ||||
4. | Multiply $500 by the total number of displaced individuals that you housed in 2009. Do not enter more than the amount shown on line 3 | 4. | ||||
5. | Enter the previously computed exemption amount (see Exemptions—line 4 on page 21; Worksheet 2-5, line 9; or Worksheet 2-12, line 9) | 5. | ||||
6. | Additional deduction for exemptions. Add lines 4 and 5. Enter the result here and on line 4 of your 2009 Estimated Tax Worksheet (line 10 of your 2009 Annualized Estimated Tax Worksheet (Worksheet 2-10)) | 6. |
2009 Tax Rate Schedules
Caution.Do not use these Tax Rate Schedules to figure your 2008 taxes. Use them only to figure your 2009 estimated taxes.
|
Schedule X—Use if your 2009 filing status is Single | Schedule Z—Use if your 2009 filing status is Head of household |
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If line 5 is: | The tax is: | of the | If line 5 is: | The tax is: | of the | ||||||||
Over— | But not over— |
amount over— | Over— | But not over— |
amount over— | ||||||||
$0 | $8,350 | 10% | $0 | $0 | $11,950 | 10% | $0 | ||||||
8,350 | 33,950 | $835.00 | + | 15% | 8,350 | 11,950 | 45,500 | $1,195.00 | + | 15% | 11,950 | ||
33,950 | 82,250 | 4,675.00 | + | 25% | 33,950 | 45,500 | 117,450 | 6,227.50 | + | 25% | 45,500 | ||
82,250 | 171,550 | 16,750.00 | + | 28% | 82,250 | 117,450 | 190,200 | 24,215.00 | + | 28% | 117,450 | ||
171,550 | 372,950 | 41,754.00 | + | 33% | 171,550 | 190,200 | 372,950 | 44,585.00 | + | 33% | 190,200 | ||
372,950 | - - - - - - | 108,216.00 | + | 35% | 372,950 | 372,950 | - - - - - - | 104,892.50 | + | 35% | 372,950 | ||
Schedule Y-1—Use if your 2009 filing status is Married filing jointly or Qualifying widow(er) |
Schedule Y-2—Use if your 2009 filing status is Married filing separately |
||||||||||||
If line 5 is: | The tax is: | of the | If line 5 is: | The tax is: | of the | ||||||||
Over— | But not over— |
amount over— | Over— | But not over— |
amount over— | ||||||||
$0 | $16,700 | 10% | $0 | $0 | $8,350 | 10% | $0 | ||||||
16,700 | 67,900 | $1,670.00 | + | 15% | 16,700 | 8,350 | 33,950 | $835.00 | + | 15% | 8,350 | ||
67,900 | 137,050 | 9,350.00 | + | 25% | 67,900 | 33,950 | 68,525 | 4,675.00 | + | 25% | 33,950 | ||
137,050 | 208,850 | 26,637.50 | + | 28% | 137,050 | 68,525 | 104,425 | 13,318.75 | + | 28% | 68,525 | ||
208,850 | 372,950 | 46,741.50 | + | 33% | 208,850 | 104,425 | 186,475 | 23,370.75 | + | 33% | 104,425 | ||
372,950 | - - - - - - | 100,894.50 | + | 35% | 372,950 | 186,475 | - - - - - - | 50,447.25 | + | 35% | 186,475 | ||
Worksheet 2-7.2009 Estimated Tax Worksheet—Line 6 Qualified Dividends and Capital Gain Tax Worksheet
1. | Enter the amount from the appropriate worksheet.
|
1. | |||||||
2. | Enter your qualified dividends expected for 20091 | 2. | |||||||
3. | Enter the net capital gain expected for 20091 | 3. | |||||||
4. | Add lines 2 and 3 | 4. | |||||||
5. | Enter your 28% rate gain or loss expected for 20092 | 5. | |||||||
6. | Enter the unrecaptured section 1250 gain expected for 2009 | 6. | |||||||
7. | Add lines 5 and 6 | 7. | |||||||
8. | Enter the smaller of line 3 or line 7 | 8. | |||||||
9. | Subtract line 8 from line 4 | 9. | |||||||
10. | Subtract line 9 from line 1. If zero or less, enter -0- | 10. | |||||||
11. | Enter the smaller of line 1 or $67,900 ($33,950 if single or married filing separately, or $45,500 if head of household) | 11. | |||||||
12. | Enter the smaller of line 10 or line 11 | 12. | |||||||
13. | Subtract line 4 from line 1. If zero or less, enter -0- | 13. | |||||||
14. | Enter the larger of line 12 or line 13 | 14. | |||||||
Note.If line 11 and line 12 are the same, skip line 15 and go to line 16. | |||||||||
15. | Subtract line 12 from line 11 | 15. | |||||||
Note. If lines 1 and 11 are the same, skip lines 16–28 and go to line 29. | |||||||||
16. | Enter the smaller of line 1 or line 9 | 16. | |||||||
17. | Enter the amount from line 15. If line 15 is blank, enter -0- | 17. | |||||||
18. | Subtract line 17 from line 16. If zero or less, enter -0- | 18. | |||||||
19. | Multiply line 18 by 15% (.15) | 19. | |||||||
Note.If line 6 is zero or blank, skip lines 20–25 and go to line 26. | |||||||||
20. | Enter the smaller of line 3 or line 6 | 20. | |||||||
21. | Add lines 4 and 14 | 21. | |||||||
22. | Enter the amount from line 1 above | 22. | |||||||
23. | Subtract line 22 from line 21. If zero or less, enter -0- | 23. | |||||||
24. | Subtract line 23 from line 20. If zero or less, enter -0- | 24. | |||||||
25. | Multiply line 24 by 25% (.25) | 25. | |||||||
Note.If line 5 is zero or blank, skip lines 26–28 and go to line 29. | |||||||||
26. | Add lines 14, 15, 18, and 24 | 26. | |||||||
27. | Subtract line 26 from line 1 | 27. | |||||||
28. | Multiply line 27 by 28% (.28) | 28. | |||||||
29. | Figure the tax on the amount on line 14 from the 2009 Tax Rate Schedules | 29. | |||||||
30. | Add lines 19, 25, 28, and 29 | 30. | |||||||
31. | Figure the tax on the amount on line 1 from the 2009 Tax Rate Schedules | 31. | |||||||
32. | Tax on all taxable income (including capital gains and qualified dividends). Enter the smaller of line 30 or line 31 here and on line 6 of the 2009 Estimated Tax Worksheet (or line 4 of Worksheet 2-8) | 32. |
1 If you expect to deduct investment interest expense, do not include on this line any qualified dividends or net capital gain that you will elect to treat as investment income. |
2 This includes a section 1202 exclusion from eligible gain on qualified small business stock and gain or loss from the sale or exchange of collectibles. See the instructions for Schedule D (Form 1040) for more information. |
Worksheet 2-8.2009 Estimated Tax Worksheet—Line 6 Foreign Earned Income Tax Worksheet
Before you begin: If line 5 of your 2009 Estimated Tax Worksheet is zero, do not complete this worksheet. | ||||||||
1. | Enter the amount from line 5 of your 2009 Estimated Tax Worksheet | 1. | ||||||
2. | Enter the total foreign earned income and housing amount you (and your spouse if filing jointly) expect to exclude or deduct in 2009 on Form 2555 or Form 2555-EZ | 2. | ||||||
3. | Add lines 1 and 2 | 3. | ||||||
4. | Tax on the amount on line 3. Use the 2009 Tax Rate Schedules or Worksheet 2-7,* as appropriate | 4. | ||||||
5. | Tax on the amount on line 2. Use the 2009 Tax Rate Schedules | 5. | ||||||
6. | Subtract line 5 from line 4. Enter the result here and on line 6 of your 2009 Estimated Tax Worksheet. If zero or less, enter -0- | 6. | ||||||
*If using Worksheet 2-7 (Qualified Dividends and Capital Gain Tax Worksheet), enter the amount from line 3 above on line 1 of Worksheet 2-7. Complete Worksheet 2-7 through line 9. Next, determine if you have a capital gain excess. |
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Figuring capital gain excess. To find out if you have a capital gain excess, subtract line 5 of your 2009 Estimated Tax Worksheet from line 9 of Worksheet 2-7. If the result is more than zero, that amount is your capital gain excess. |
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No capital gain excess. If you do not have a capital gain excess, complete the rest of Worksheet 2-7 according to its instructions. Then complete lines 5 and 6 above. |
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Capital gain excess. If you have a capital gain excess, complete a second Worksheet 2-7 as instructed above but in its entirety and with the following additional modifications. Then complete lines 5 and 6 above. |
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Make these modifications only for purposes of filling out Worksheet 2-8 above. | ||||||||
a. Reduce (but not below zero) the amount you otherwise would enter on line 3 of Worksheet 2-7 by your capital gain excess. |
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b. Reduce (but not below zero) the amount you otherwise would enter on line 2 of Worksheet 2-7 by any of your capital gain excess not used in (a) above. |
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c. Reduce (but not below zero) the amount you otherwise would enter on line 5 of Worksheet 2-7 by your capital gain excess. |
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d. Reduce (but not below zero) the amount you otherwise would enter on line 6 of Worksheet 2-7 by your capital gain excess. |
Worksheet 2-9. 2009 Estimated Tax Worksheet—Line 13b Making Work Pay Credit Worksheet
1. | Enter the earned income* you (and your spouse, if married filing jointly) expect in 2009 | 1. | |||||
2. | Multiply line 1 by 6.2% (.062) | 2. | |||||
3. | Enter $400 ($800 if married filing jointly) | 3. | |||||
4. | Enter the smaller of line 2 or line 3 | 4. | |||||
5. | Enter the amount from line 1 of your 2009 Estimated Tax Worksheet | 5. | |||||
6. | Enter the total of any:
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6. | |||||
7. | Add line 5 and line 6 | 7. | |||||
8. | Enter $75,000 ($150,000 if married filing jointly) | 8. | |||||
9. | Is the amount on line 7 more than the amount on line 8? | ||||||
No. | Skip line 10. Enter the amount from line 4 on line 11 below. | ||||||
Yes. | Subtract line 8 from line 7 | 9. | |||||
10. | Multiply line 9 by 2% (.02) | 10. | |||||
11. | Subtract line 10 from line 4. If zero or less, enter -0- | 11. | |||||
12. | Did you (or your spouse, if married filing jointly) receive social security benefits, supplemental security income, railroad retirement benefits, or veterans disability compensation or pension benefits in November or December 2008 or January 2009? | ||||||
No. | Enter -0-. | ||||||
Yes. | Enter $250 ($500 if married filing jointly) | 12. | |||||
13. | Do you (or your spouse, if married filing jointly) expect to receive a pension or annuity in 2009 for services you performed as an employee of the U.S. government or any U.S. state or local government? Do not include any pension or annuity that will be reported on Form W-2. | ||||||
No. | Enter -0-. | ||||||
Yes. | If you checked “No” on line 12, enter $250 ($500 if married filing jointly and the answer on line 13 is “Yes” for both spouses). If you checked “Yes” on line 12, enter -0- (exception: enter $250 if married filing jointly and the spouse who received the pension or annuity did not receive any of the payments described on line 12) | 13. | |||||
14. | Add lines 12 and 13 | 14. | |||||
15. | Subtract line 14 from line 11. If zero or less, enter -0- | 15. | |||||
16. | Making Work Pay credit (including special credit for government retirees). Add lines 13 and 15. Enter the result here and include in the total on line 13b of your 2009 Estimated Tax Worksheet | 16. |
*Earned incomeincludes wages, salaries, tips, professional fees, and other compensation received for personal services you performed. It also includes any amount received as a scholarship that you must include in your income and any nontaxable combat pay that you will include in your earned income for this purpose. If you will be self-employed, subtract the amount from Worksheet 2-2, line 11, to figure your earned income. |
Worksheet 2-10.2009 Annualized Estimated Tax Worksheet
Note.For instructions, see Annualized Income Installment Method in chapter 2.
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Section A (For Figuring Your Annualized Estimated Tax Payments)—Complete each column after end of period shown. | |||||||
Estates and trusts: Use the following ending dates in columns (a)–(d): 2/28/2009, 4/30/2009, 7/31/2009, 11/30/2009. |
(a) 1/1/09 – 3/31/09 |
(b) 1/1/09 – 5/31/09 |
(c) 1/1/09 – 8/31/09 |
(d) 1/1/09 – 12/31/09 |
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1 | Adjusted gross income (AGI) for each period (see instructions). Estates and trusts, enter your taxable income without your exemption for each period. Self-employed: Complete Section B first | 1 | |||||
2 | Annualization amounts. (Estates and trusts, see instructions) | 2 | 4 | 2.4 | 1.5 | 1 | |
3 | Annualized income. Multiply line 1 by line 2 | 3 | |||||
4 | If you itemize, enter itemized deductions for period shown in the column headings (see instructions). All others, enter -0- and skip to line 7. Exception: Estates and trusts, skip to line 9 and enter amount from line 3 | 4 | |||||
5 | Annualization amounts | 5 | 4 | 2.4 | 1.5 | 1 | |
6 | Multiply line 4 by line 5 (see instructions and Worksheet 2-11 if line 3 is more than $83,400) | 6 | |||||
7 | Standard deduction from Worksheet 2-3 | 7 | |||||
8 | Enter the larger of line 6 or line 7 | 8 | |||||
9 | Subtract line 8 from line 3 | 9 | |||||
10 | In each column, multiply $3,650 by your total expected number of exemptions (see instructions and Worksheet 2-12 if line 3 is more than $125,100 or you expect to house individuals displaced by a Midwestern disaster). (Estates and trusts, see instructions) | 10 | |||||
11 | Subtract line 10 from line 9. If zero or less, enter -0- | 11 | |||||
12 | Figure your tax on the amount on line 11 (see instructions) | 12 | |||||
13 | Self-employment tax from line 37 of Section B | 13 | |||||
14 | Enter other taxes for each payment period (see instructions) | 14 | |||||
15 | Total tax. Add lines 12, 13, and 14 | 15 | |||||
16 | Enter credits for each period (see instructions for type of credits allowed). Do not include any income tax withholding on this line | 16 | |||||
17 | Subtract line 16 from line 15. If zero or less, enter -0- | 17 | |||||
18 | Applicable percentage | 18 | 22.5% | 45% | 67.5% | 90% | |
19 | Multiply line 17 by line 18 | 19 | |||||
Complete lines 20–25 of one column before going to line 20 of the next column. | 20 | ||||||
20 | Enter the total of the amounts in all previous columns of line 25 | ||||||
21 | Annualized income installment. Subtract line 20 from line 19. If zero or less, enter -0- | 21 | |||||
22 | Enter 25% (.25) of line 14c of the Form 1040-ES Estimated Tax Worksheet in each column | 22 | |||||
23 | Subtract line 25 of the previous column from line 24 of that column | 23 | |||||
24 | Add lines 22 and 23 | 24 | |||||
25 | Enter the smaller of line 21 or line 24 (see instructions) | 25 | |||||
26 | Total required payments for the period. Add lines 20 and 25 | 26 | |||||
27 | Estimated tax payments made (line 28 of all previous columns) plus tax withholding through the due date for the period | 27 | |||||
28 | Estimated tax payment required by the next due date. Subtract line 27 from line 26 and enter the result (but not less than zero) here and on your payment voucher | 28 |
Worksheet 2-10.2009 Annualized Estimated Worksheet(Continued)
Section B (For Figuring Your Annualized Estimated Self-Employment Tax)—Complete each column after end of period shown. | |||||||
(Form 1040 filers only) | (a) 1/1/09 – 3/31/09 |
(b) 1/1/09 – 5/31/09 |
(c) 1/1/09 – 8/31/09 |
(d) 1/1/09 – 12/31/09 |
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29 | Net earnings from self-employment for the period | 29 | |||||
30 | Prorated social security tax limit | 30 | $26,700 | $44,500 | $71,200 | $106,800 | |
31 | Enter actual wages for the period subject to social security tax or the 6.2% portion of the 7.65% railroad retirement (tier 1) tax | 31 | |||||
32 | Subtract line 31 from line 30. If zero or less, enter -0- | 32 | |||||
33 | Annualization amounts | 33 | 0.496 | 0.2976 | 0.186 | 0.124 | |
34 | Multiply line 33 by the smaller of line 29 or line 32 | 34 | |||||
35 | Annualization amounts | 35 | 0.116 | 0.0696 | 0.0435 | 0.029 | |
36 | Multiply line 29 by line 35 | 36 | |||||
37 | Add lines 34 and 36. Enter the result here and on line 13 of Section A | 37 | |||||
38 | Annualization amounts | 38 | 8 | 4.8 | 3 | 2 | |
39 | Deduction for one-half of self-employment tax. Divide line 37 by line 38. Enter the result here. Use this result to figure your AGI on line 1 | 39 |
Worksheet 2-11.2009 Annualized Estimated Tax Worksheet—Line 6 Phaseout of Itemized Deductions
1. | Enter line 4 of Worksheet 2-10, Section A | 1. | |||
2. | Enter the amount included in line 1 for medical and dental expenses, investment interest, casualty or theft losses, and gambling losses (after applying the same limits used in line 1) | 2. | |||
3. | Subtract line 2 from line 1 | 3. | |||
4. | Enter line 5 of Worksheet 2-10, Section A | 4. | |||
5. | Multiply line 1 by line 4 | 5. | |||
Note.If line 3 is zero or less, your deduction is not limited. Stop here and enter line 5 above on line 6 of Worksheet 2-10, Section A. |
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6. | Multiply line 3 by line 4 | 6. | |||
7. | Multiply line 6 by 80% (.80) | 7. | |||
8. | Enter line 3 of Worksheet 2-10, Section A | 8. | |||
9. | Enter $166,800 ($83,400 if married filing separately) | 9. | |||
10. | Subtract line 9 from line 8 | 10. | |||
Note. If line 10 is zero or less, your deduction is not limited. Stop here and enter line 5 of this worksheet on line 6 of Worksheet 2-10, Section A. |
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11. | Multiply line 10 by 3% (.03) | 11. | |||
12. | Enter the smaller of line 7 or line 11 | 12. | |||
13. | Divide line 12 by 1.5 | 13. | |||
14. | Subtract line 13 from line 12 | 14. | |||
15. | Total itemized deductions. Subtract line 14 from line 5. Enter the result here and in the appropriate column of Worksheet 2-10, Section A, line 6 | 15. |
Worksheet 2-12.2009 Annualized Estimated Tax Worksheet—Line 10 Reduction of Exemption Amount
1. | Multiply $3,650 by the number of exemptions you plan to claim | 1. | ||||
2. | Enter line 3 of Worksheet 2-10, Section A | 2. | ||||
3. | Enter the amount shown below for your filing status | |||||
Single—$166,800 Married filing jointly or qualifying widow(er)—$250,200 Married filing separately—$125,100 Head of household—$208,500 |
3. | |||||
4. | Subtract line 3 from line 2 | 4. | ||||
5. | Is line 4 more than $122,500 (more than $61,250 if married filing separately)? | |||||
Yes. Multiply $2,433 by the number of exemptions you plan to claim and enter the result here and on line 10 of Worksheet 2-10, Section A. Do not complete the rest of this worksheet. | ||||||
No. Divide line 4 by $2,500 ($1,250 if married filing separately). If the result is not a whole number, increase it to the next higher whole number (for example, increase 0.0004 to 1) | 5. | |||||
6. | Multiply line 5 by 2% (.02). Enter the result as a decimal | 6. | . | |||
7. | Multiply line 1 by line 6 | 7. | ||||
8. | Divide line 7 by 3.0 | 8. | ||||
9. | Deduction for exemptions. Subtract line 8 from line 1. Enter the result here and in the appropriate column of Worksheet 2-10, Section A, line 10. Caution. If you expect to house individuals displaced by a Midwestern disaster, enter the result on line 5 of Worksheet 2-6 and not on Worksheet 2-10 | 9. |
Worksheet 2-13.2009 Annualized Estimated Tax Worksheet—Line 12 Qualified Dividends and Capital Gain Tax Worksheet
Note. | To figure the annualized entries for lines 2, 3, 5, and 6 below, multiply the expected amount for the period by the annualization
amount on line 2 of Worksheet 2-10 for the same period. |
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1. | Enter the amount from the appropriate worksheet.
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1. | |||||||
2. | Enter your annualized qualified dividends expected for 2009 1 | 2. | |||||||
3. | Enter the annualized net capital gain expected for 2009 1 | 3. | |||||||
4. | Add lines 2 and 3 | 4. | |||||||
5. | Enter your annualized 28% rate gain or loss expected for 2009 2 | 5. | |||||||
6. | Enter the annualized unrecaptured section 1250 gain expected for 2009 | 6. | |||||||
7. | Add lines 5 and 6 | 7. | |||||||
8. | Enter the smaller of line 3 or line 7 | 8. | |||||||
9. | Subtract line 8 from line 4 | 9. | |||||||
10. | Subtract line 9 from line 1. If zero or less, enter -0- | 10. | |||||||
11. | Enter the smaller of line 1 or $67,900 ($33,950 if single or married filing separately, or $45,500 if head of household) | 11. | |||||||
12. | Enter the smaller of line 10 or line 11 | 12. | |||||||
13. | Subtract line 4 from line 1. If zero or less, enter -0- |
13. |
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14. | Enter the larger of line 12 or line 13 | 14. | |||||||
Note.If line 11 and line 12 are the same, skip line 15 and go to line 16. | |||||||||
15. | Subtract line 12 from line 11 | 15. | |||||||
Note.If lines 1 and 11 are the same, skip lines 16–28 and go to line 29. | |||||||||
16. | Enter the smaller of line 1 or line 9 | 16. | |||||||
17. | Enter the amount from line 15. If line 15 is blank, enter -0- | 17. | |||||||
18. | Subtract line 17 from line 16. If zero or less, enter -0- | 18. | |||||||
19. | Multiply line 18 by 15% (.15) | 19. | |||||||
Note.If line 6 is zero or blank, skip lines 20–25 and go to line 26. | |||||||||
20. | Enter the smaller of line 3 or line 6 | 20. | |||||||
21. | Add lines 4 and 14 | 21. | |||||||
22. | Enter the amount from line 1 above | 22. | |||||||
23. | Subtract line 22 from line 21. If zero or less, enter -0- | 23. | |||||||
24. | Subtract line 23 from line 20. If zero or less, enter -0- | 24. | |||||||
25. | Multiply line 24 by 25% (.25) | 25. | |||||||
Note.If line 5 is zero or blank, skip lines 26–28 and go to line 29. | |||||||||
26. | Add lines 14, 15, 18, and 24 | 26. | |||||||
27. | Subtract line 26 from line 1 | 27. | |||||||
28. | Multiply line 27 by 28% (.28) | 28. | |||||||
29. | Figure the tax on the amount on line 14 from the 2009 Tax Rate Schedules | 29. | |||||||
30. | Add lines 19, 25, 28, and 29 | 30. | |||||||
31. | Figure the tax on the amount on line 1 from the 2009 Tax Rate Schedules | 31. | |||||||
32. | Tax on all taxable income (including capital gains and qualified dividends). Enter the smaller of line 30 or line 31 here and in the appropriate column of the 2009 Annualized Estimated Tax Worksheet, line 12 (or line 4 of Worksheet 2-14) | 32. |
1 If you expect to deduct investment interest expense, do not include on this line any qualified dividends or net capital gain that you will elect to treat as investment income. |
2 This includes a section 1202 exclusion from eligible gain on qualified small business stock and gain or loss from the sale or exchange of collectibles. See the instructions for Schedule D (Form 1040) for more information. |
Worksheet 2-14.2009 Annualized Estimated Tax Worksheet—Line 12 Foreign Earned Income Tax Worksheet
Before you begin: | If line 11 of Worksheet 2-10 (2009 Annualized Estimated Tax Worksheet) is zero for the period, do not complete this worksheet. | |||||||
1. | Enter the amount from line 11 of your 2009 Annualized Estimated Tax Worksheet for the period | 1. | ||||||
2. | Enter the annualized amount* of foreign earned income and housing amount you (and your spouse if filing jointly) expect to exclude or deduct for the period on Form 2555 or Form 2555-EZ | 2. | ||||||
3. | Add lines 1 and 2 | 3. | ||||||
4. | Tax on the amount on line 3. Use the 2009 Tax Rate Schedules or Worksheet 2-13,** as appropriate | 4. | ||||||
5. | Tax on the amount on line 2. Use the 2009 Tax Rate Schedules | 5. | ||||||
6. | Subtract line 5 from line 4. Enter the result here and on line 12 of your 2009 Annualized Estimated Tax Worksheet (Worksheet 2-10). If zero or less, enter -0- | 6. | ||||||
* To figure the annualized amount for line 2, multiply the expected exclusion for the period by the annualization amount on line 2 of Worksheet 2-10 for the same period. |
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**If using Worksheet 2-13 (Qualified Dividends and Capital Gain Tax Worksheet), enter the amount from line 3 above on line 1 of Worksheet 2-13. Complete Worksheet 2-13 through line 9. Next, determine if you have a capital gain excess. |
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Figuring capital gain excess. To find out if you have a capital gain excess for the appropriate period, subtract line 11 of Worksheet 2-10 from line 9 of Worksheet 2-13. If the result is more than zero, that amount is your capital gain excess. |
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No capital gain excess. If you do not have a capital gain excess, complete the rest of Worksheet 2-13 according to its instructions. Then complete lines 5 and 6 above. | ||||||||
Capital gain excess. If you have a capital gain excess, complete a second Worksheet 2-13 as instructed above but in its entirety and with the following additional modifications. Then complete lines 5 and 6 above. | ||||||||
Make these modifications only for purposes of filling out Worksheet 2-14 above. | ||||||||
a. Reduce (but not below zero) the amount you otherwise would enter on line 3 of Worksheet 2-13 by your capital gain excess. | ||||||||
b. Reduce (but not below zero) the amount you otherwise would enter on line 2 of Worksheet 2-13 by any of your capital gain excess not used in (a) above. | ||||||||
c. Reduce (but not below zero) the amount you otherwise would enter on line 5 of Worksheet 2-13 by your capital gain excess. | ||||||||
d. Reduce (but not below zero) the amount you otherwise would enter on line 6 of Worksheet 2-13 by your capital gain excess. |
Worksheet 2-15. 2009 Annualized Estimated Tax Worksheet—Line 16 Making Work Pay Credit Worksheet
Note. | To figure the annualized entries for lines 1 and 6 below, multiply the expected amount for the period by the annualization amount on line 2 of Worksheet 2-10 for the same period. |
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1. | Enter the annualized earned income* you (and your spouse, if married filing jointly) expect in 2009 | 1. | |||||
2. | Multiply line 1 by 6.2% (.062) | 2. | |||||
3. | Enter $400 ($800 if married filing jointly) | 3. | |||||
4. | Enter the smaller of line 2 or line 3 | 4. | |||||
5. | Enter the amount from line 3 of Worksheet 2-10 | 5. | |||||
6. | Enter the total of any:
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6. | |||||
7. | Add line 5 and line 6 | 7. | |||||
8. | Enter $75,000 ($150,000 if married filing jointly) | 8. | |||||
9. | Is the amount on line 7 more than the amount on line 8? | ||||||
No. | Skip line 10. Enter the amount from line 4 on line 11 below. | ||||||
Yes. | Subtract line 8 from line 7 | 9. | |||||
10. | Multiply line 9 by 2% (.02) | 10. | |||||
11. | Subtract line 10 from line 4. If zero or less, enter -0- | 11. | |||||
12. | Did you (or your spouse, if married filing jointly) receive social security benefits, supplemental security income, railroad retirement benefits, or veterans disability compensation or pension benefits in November or December 2008 or January 2009? | ||||||
No. | Enter -0-. | ||||||
Yes. | Enter $250 ($500 if married filing jointly) | 12. | |||||
13. | Do you (or your spouse, if married filing jointly) expect to receive a pension or annuity in 2009 for services you performed as an employee of the U.S. government or any U.S. state or local government? Do not include any pension or annuity that you expect to be reported on Form W-2. | ||||||
No. | Enter -0-. | ||||||
Yes. | If you checked “No” on line 12, enter $250 ($500 if married filing jointly and the answer on line 13 is “Yes” for both spouses). If you checked “Yes” on line 12, enter -0- (exception: enter $250 if married filing jointly and the spouse who received the pension or annuity did not receive a payment described on line 12) | 13. | |||||
14. | Add lines 12 and 13 | 14. | |||||
15. | Subtract line 14 from line 11. If zero or less, enter -0- | 15. | |||||
16. | Making Work Pay credit (including special credit for government retirees). Add lines 13 and 15. Enter the result here and include in the total on line 16 of Worksheet 2-10 | 16. |
* Earned incomeincludes wages, salaries, tips, professional fees, and other compensation received for personal services you performed. It also includes any amount received as a scholarship that you must include in your income and any nontaxable combat pay that you will include in your earned income for this purpose. If you will be self-employed, subtract the amount from Worksheet 2-2, line 11, to figure your earned income. | |
** To figure the annualized amount for line 6, multiply the expected exclusion or deduction for the period by the annualization amount on line 2 of Worksheet 2-11 for the same period. |
Worksheet 2-16.Amended Estimated Tax Worksheet
1. | Amended total estimated tax due | 1. | ||||
2. | Multiply line 1 by: | |||||
50% (.50) if next payment is due June 15, 2009 | ||||||
75% (.75) if next payment is due September 15, 2009 | ||||||
100% (1.00) if next payment is due January 15, 2010 | 2. | |||||
3. | Estimated tax payments made for all previous periods | 3. | ||||
4. | Next required payment: Subtract line 3 from line 2 and enter the result (but not less than zero) here and on your payment voucher for your next required payment | 4. | ||||
Note.If the payment on line 4 is due January 15, 2010, stop here. Otherwise, go to line 5. | ||||||
5. | Add lines 3 and 4 | 5. | ||||
6. | Subtract line 5 from line 1 and enter the result (but not less than zero) | 6. | ||||
7. | Each following required payment: If the payment on line 4 is due June 15, 2009, enter one-half of the amount on line 6 here and on the payment vouchers for your payments due September 15, 2009, and January 15, 2010. If the amount on line 4 is due September 15, 2009, enter the full amount on line 6 here and on the payment voucher for your payment due January 15, 2010 | 7. |
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