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quarterly taxes

Forum|Forum|2 years ago
August 30, 2023
2 replies
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Hello,

I moved from upstate NY to Arizona in early 2022 and continued to work remotely in upstate NY through the end of January, 2023 (for which I will receive a W-2). I started a consulting practice, an LLC, in 2022 and showed a loss on schedule C of my 2022 tax return. I am now generating income from my LLC in 2023. I have not yet paid quarterly taxes in 2023 and don't know how to do it. I presume I need to pay both federal and AZ state quarterly taxes. Does TurboTax help with that? How do I do that?

Thank you

Best answer by Holly W

Hello @Janet_21

Thank you for being here and participating today! We are so happy you are here.

Congratulations for generating income on your LLC. While TurboTax does not do the actual calculations, we can arm you with the tools necessary to do what is required. Quarterly taxes are typically done 4 times a year, 1) April 18, 2) June 15, 3) Sept. 15, & 4) Jan 16. Even though you haven't started making payments, it's not too late. Here is how you can determine how much you should pay

IRS: 1040-ES & Worksheet

AZ: 140es Form & Worksheet

Both will have worksheets to determine how much will need to be paid, and how to make the payments, along with requirements. TurboTax also has several Tools & Calculators to assist and provide more detailed information.

Keep up the good work and let us know if you any further questions! We will be happy to help!

Holly W

Holly WAnswer

Hello @Janet_21

Thank you for being here and participating today! We are so happy you are here.

Congratulations for generating income on your LLC. While TurboTax does not do the actual calculations, we can arm you with the tools necessary to do what is required. Quarterly taxes are typically done 4 times a year, 1) April 18, 2) June 15, 3) Sept. 15, & 4) Jan 16. Even though you haven't started making payments, it's not too late. Here is how you can determine how much you should pay

IRS: 1040-ES & Worksheet

AZ: 140es Form & Worksheet

Both will have worksheets to determine how much will need to be paid, and how to make the payments, along with requirements. TurboTax also has several Tools & Calculators to assist and provide more detailed information.

Keep up the good work and let us know if you any further questions! We will be happy to help!

Holly W

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J

Janet_21Author

Very helpful, thank you!

E

Esther M

Hello Janet_21,

Congratulations on becoming self-employed even though it comes with some tax responsibilities. As a self-employed individual you're responsible for estimating and paying quarterly to the IRS and to the state of Arizona. I assume your business is a single-member LLC, in which case the LLC itself is not taxed at both federal and state level but you're still required to pay estimated taxes, if you meet certain conditions:

1. At Federal level - you must pay estimated taxes if you expect to owe $1000 or more when your return is filed.

2. At State level - If you meet the threshold as a full year resident

Please see the link below for more information.

IRS - Who Must Pay Estimated Tax

Single-Member LLCs in Arizona

Estimated tax payments are due as follows: