Does the IRS Provide an Online Calculator to Determine Estimated Tax Payments?

Does the IRS Provide an Online Calculator to Determine Estimated Tax Payments?

The Internal Revenue Service does not provide a tax estimate calculator but does offer a withholding calculator to help taxpayers understand how much money to allocate to taxes from each pay check. This approach helps prevent a substantial liability at the end of the tax period.

A common approach in estimating taxes is to use the prior-year filed return as a basis for calculation. Taxpayers can make estimated payments using Form 1040-ES. Payments should also be made quarterly. The Internal Revenue Service accepts payments via standard postage or through the Electronic Federal Tax Payment System. The official website of the organization offers a detailed questionnaire and calculator to assist with tax withholding calculations as well.