IRS Hitting Estimated Tax Filers With More Penalties
The IRS plays no favorites when it comes to taxpayers missing payments or not paying enough. However, those who pay their income tax via quarterly estimated payments had better pay particular attention because lately the IRS has been coming down hard on these individuals with much more frequency.
According to recent IRS data, the number of penalties issued by the agency has jumped 33 percent between 2007 and 2016, from nearly 7.5 million to almost 10 million. These taxpayers, who often work as freelancers and business owners, get penalized because they don’t withhold enough money from their income to pay the necessary taxes.
According to the IRS, the data would appear to indicate that these individuals are either making mistakes in their calculations or they simply aren’t aware they need to pay these taxes. As for the cause of the increase in the number of penalties, the Doesn’t really have the answer.
However, the agency believes the increase in the number of taxpayers that now work for themselves, either as business owners or as freelancers, is one factor that is likely playing a role in the rising number of penalties.
The IRS suggests anyone who is responsible to make quarterly estimated tax payments fill out the agency’s annualized income installment method worksheet in order to calculate his or her taxes correctly and avoid the penalty.
Faith, Freight & “Slaying the Tomb”
How the Moscrips Drove From Freight Tech to Faith-Fueled Media When Scott Moscrip launched Truckstop.com from a spare bedroom in 1995, he didn’t just build a freight-matching marketplace—he rewired a blue-collar industry for the Internet age. Thirty years, five kids, and one mayoral term later, the Idaho technologist and his wife, Carmen, are chasing an…
From the Streets to Self-Reliance
How Joseph Grenny’s Other Side Village Is Rewriting the Homelessness Playbook A 2 a.m. Alarm and a Box of World-Class Doughnuts At two o’clock each morning in downtown Salt Lake City, former rough-sleepers slip into spotless aprons, fire up industrial mixers, and begin turning out pillowy brioche rings glazed with passion-fruit icing and drizzled…
Building a Legacy: A Fireside Chat with Martin Luther King III
In a thought-provoking fireside chat at our Legacy Builder’s Conference, Martin Luther King III shared profound insights on the concept of legacy, leadership, and the moral imperatives facing society today. Speaking with Alan Olsen, he reflected on his father’s enduring impact and his own efforts to carry forward that mission in today’s world. Defining His…
Turning Ordinary Lives into Living Legacies
“There was a measurable connection between how well they knew their family stories and how successful they were.” — Kasia Flanagan, founder of Everyday Legacies When historian‑turned‑biographer Kasia Flanagan examined the lives of mixed‑race German‑Samoan descendants for her PhD, she expected to chart migration patterns and cultural shifts. What she didn’t expect was the data point that changed her career:…