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Free online tax filing state federal 7. Free online tax filing state federal   Figuring Gross Profit Table of Contents Introduction Items To Check Testing Gross Profit AccuracyExample. Free online tax filing state federal Additions to Gross Profit Introduction After you have figured the gross receipts from your business (chapter 5) and the cost of goods sold (chapter 6), you are ready to figure your gross profit. Free online tax filing state federal You must determine gross profit before you can deduct any business expenses. Free online tax filing state federal These expenses are discussed in chapter 8. Free online tax filing state federal If you are filing Schedule C-EZ, your gross profit is your gross receipts plus certain other amounts, explained later under Additions to Gross Profit. Free online tax filing state federal Businesses that sell products. Free online tax filing state federal   If you are filing Schedule C, figure your gross profit by first figuring your net receipts. Free online tax filing state federal Figure net receipts (line 3) on Schedule C by subtracting any returns and allowances (line 2) from gross receipts (line 1). Free online tax filing state federal Returns and allowances include cash or credit refunds you make to customers, rebates, and other allowances off the actual sales price. Free online tax filing state federal   Next, subtract the cost of goods sold (line 4) from net receipts (line 3). Free online tax filing state federal The result is the gross profit from your business. Free online tax filing state federal Businesses that sell services. Free online tax filing state federal   You do not have to figure the cost of goods sold if the sale of merchandise is not an income-producing factor for your business. Free online tax filing state federal Your gross profit is the same as your net receipts (gross receipts minus any refunds, rebates, or other allowances). Free online tax filing state federal Most professions and businesses that sell services rather than products can figure gross profit directly from net receipts in this way. Free online tax filing state federal Illustration. Free online tax filing state federal   This illustration of the gross profit section of the income statement of a retail business shows how gross profit is figured. Free online tax filing state federal Income Statement Year Ended December 31, 2013 Gross receipts $400,000 Minus: Returns and allowances 14,940 Net receipts $385,060 Minus: Cost of goods sold 288,140 Gross profit $96,920   The cost of goods sold for this business is figured as follows: Inventory at beginning of year $37,845 Plus: Purchases $285,900   Minus: Items withdrawn for personal use 2,650 283,250 Goods available for sale $321,095 Minus: Inventory at end of year 32,955 Cost of goods sold $288,140 Items To Check Consider the following items before figuring your gross profit. Free online tax filing state federal Gross receipts. Free online tax filing state federal   At the end of each business day, make sure your records balance with your actual cash and credit receipts for the day. Free online tax filing state federal You may find it helpful to use cash registers to keep track of receipts. Free online tax filing state federal You should also use a proper invoicing system and keep a separate bank account for your business. Free online tax filing state federal Sales tax collected. Free online tax filing state federal   Check to make sure your records show the correct sales tax collected. Free online tax filing state federal   If you collect state and local sales taxes imposed on you as the seller of goods or services from the buyer, you must include the amount collected in gross receipts. Free online tax filing state federal   If you are required to collect state and local taxes imposed on the buyer and turn them over to state or local governments, you generally do not include these amounts in income. Free online tax filing state federal Inventory at beginning of year. Free online tax filing state federal   Compare this figure with last year's ending inventory. Free online tax filing state federal The two amounts should usually be the same. Free online tax filing state federal Purchases. Free online tax filing state federal   If you take any inventory items for your personal use (use them yourself, provide them to your family, or give them as personal gifts, etc. Free online tax filing state federal ) be sure to remove them from the cost of goods sold. Free online tax filing state federal For details on how to adjust cost of goods sold, see Merchandise withdrawn from sale in chapter 6. Free online tax filing state federal Inventory at end of year. Free online tax filing state federal   Check to make sure your procedures for taking inventory are adequate. Free online tax filing state federal These procedures should ensure all items have been included in inventory and proper pricing techniques have been used. Free online tax filing state federal   Use inventory forms and adding machine tapes as the only evidence for your inventory. Free online tax filing state federal Inventory forms are available at office supply stores. Free online tax filing state federal These forms have columns for recording the description, quantity, unit price, and value of each inventory item. Free online tax filing state federal Each page has space to record who made the physical count, who priced the items, who made the extensions, and who proofread the calculations. Free online tax filing state federal These forms will help satisfy you that the total inventory is accurate. Free online tax filing state federal They will also provide you with a permanent record to support its validity. Free online tax filing state federal   Inventories are discussed in chapter 2. Free online tax filing state federal Testing Gross Profit Accuracy If you are in a retail or wholesale business, you can check the accuracy of your gross profit figure. Free online tax filing state federal First, divide gross profit by net receipts. Free online tax filing state federal The resulting percentage measures the average spread between the merchandise cost of goods sold and the selling price. Free online tax filing state federal Next, compare this percentage to your markup policy. Free online tax filing state federal Little or no difference between these two percentages shows that your gross profit figure is accurate. Free online tax filing state federal A large difference between these percentages may show that you did not accurately figure sales, purchases, inventory, or other items of cost. Free online tax filing state federal You should determine the reason for the difference. Free online tax filing state federal Example. Free online tax filing state federal   Joe Able operates a retail business. Free online tax filing state federal On the average, he marks up his merchandise so that he will realize a gross profit of 331/3% on its sales. Free online tax filing state federal The net receipts (gross receipts minus returns and allowances) shown on his income statement is $300,000. Free online tax filing state federal His cost of goods sold is $200,000. Free online tax filing state federal This results in a gross profit of $100,000 ($300,000 − $200,000). Free online tax filing state federal To test the accuracy of this year's results, Joe divides gross profit ($100,000) by net receipts ($300,000). Free online tax filing state federal The resulting 331/3% confirms his markup percentage of 331/3%. Free online tax filing state federal Additions to Gross Profit If your business has income from a source other than its regular business operations, enter the income on line 6 of Schedule C and add it to gross profit. Free online tax filing state federal The result is gross business income. Free online tax filing state federal If you use Schedule C-EZ, include the income on line 1 of the schedule. Free online tax filing state federal Some examples include income from an interest-bearing checking account, income from scrap sales, income from certain fuel tax credits and refunds, and amounts recovered from bad debts. Free online tax filing state federal Prev  Up  Next   Home   More Online Publications
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Better Business Bureaus (BBBs) are nonprofit organizations that encourage honest advertising and selling practices and are supported primarily by local businesses. They offer a variety of consumer services, including consumer education materials; business reports, particularly unanswered or unsettled complaints or other problems; mediation and arbitration services; and information about charities and other organizations that are seeking public donations. They also provide ratings (A, B, C, D, or F) of local companies to express the BBB's confidence that the company operates in a trustworthy manner and demonstrates a willingness to resolve customer concerns.

Marlborough, MA

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Marlborough, MA 01752-4705

Phone Number: 508-652-4800

Worcester, MA

Website: Better Business Bureau

Email: info@cne.bbb.org

Address: Better Business Bureau
340 Main St., Suite 802
Worcester, MA 01608

Phone Number: 508-755-2548

Toll-free: 1-866-566-9222

The Free Online Tax Filing State Federal

Free online tax filing state federal 2. Free online tax filing state federal   Estimated Tax for 2014 Table of Contents Introduction Topics - This chapter discusses: Useful Items - You may want to see: Who Does Not Have To Pay Estimated Tax Who Must Pay Estimated TaxGeneral Rule Married Taxpayers Special Rules Aliens Estates and Trusts How To Figure Estimated Tax2014 Estimated Tax Worksheet When To Pay Estimated TaxWhen To Start Farmers and Fishermen How To Figure Each PaymentRegular Installment Method Annualized Income Installment Method Estimated Tax Payments Not Required How To Pay Estimated TaxCredit an Overpayment Pay Online Pay by Phone Pay by Check or Money Order Using the Estimated Tax Payment Voucher Introduction Estimated tax is the method used to pay tax on income that is not subject to withholding. Free online tax filing state federal This includes income from self-employment, interest, dividends, alimony, rent, gains from the sale of assets, prizes, and awards. Free online tax filing state federal 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. Free online tax filing state federal 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. Free online tax filing state federal 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. Free online tax filing state federal If you do not pay enough by the due date of each payment period (see When To Pay Estimated Tax , later), you may be charged a penalty even if you are due a refund when you file your tax return. Free online tax filing state federal For information on when the penalty applies, see chapter 4. Free online tax filing state federal It would be helpful for you to have a copy of your 2013 tax return and an estimate of your 2014 income nearby while reading this chapter. Free online tax filing state federal Topics - This chapter discusses: Who must pay estimated tax, How to figure estimated tax (including illustrated examples), When to pay estimated tax, How to figure each payment, and How to pay estimated tax. Free online tax filing state federal Useful Items - You may want to see: Form (and Instructions) 1040-ES Estimated Tax for Individuals See chapter 5 for information about how to get this publication and form. Free online tax filing state federal Worksheets. Free online tax filing state federal   You may need to use several of the blank worksheets included in this chapter. Free online tax filing state federal See Worksheets for Chapter 2, later, to locate what you need. Free online tax filing state federal Who Does Not Have To Pay Estimated Tax If you receive salaries and wages, you may be able to avoid paying estimated tax by asking your employer to take more tax out of your earnings. Free online tax filing state federal To do this, file a new Form W-4 with your employer. Free online tax filing state federal See chapter 1. Free online tax filing state federal Estimated tax not required. Free online tax filing state federal   You do not have to pay estimated tax for 2014 if you meet all three of the following conditions. Free online tax filing state federal You had no tax liability for 2013. Free online tax filing state federal You were a U. Free online tax filing state federal S. Free online tax filing state federal citizen or resident alien for the whole year. Free online tax filing state federal Your 2013 tax year covered a 12-month period. Free online tax filing state federal   You had no tax liability for 2013 if your total tax (defined later under Total tax for 2013—line 14b ) was zero or you did not have to file an income tax return. Free online tax filing state federal Please click here for the text description of the image. Free online tax filing state federal Figure 2-A: Do You Have To Pay Estimated Tax? Who Must Pay Estimated Tax If you owed additional tax for 2013, you may have to pay estimated tax for 2014. Free online tax filing state federal You can use the following general rule as a guide during the year to see if you will have enough withholding, or should increase your withholding or make estimated tax payments. Free online tax filing state federal General Rule In most cases, you must pay estimated tax for 2014 if both of the following apply. Free online tax filing state federal You expect to owe at least $1,000 in tax for 2014, after subtracting your withholding and refundable credits. Free online tax filing state federal You expect your withholding and refundable credits to be less than the smaller of: 90% of the tax to be shown on your 2014 tax return, or 100% of the tax shown on your 2013 tax return. Free online tax filing state federal Your 2013 tax return must cover all 12 months. Free online tax filing state federal Note. Free online tax filing state federal The percentages in (2a) or (2b) above may be different if you are a farmer, fisherman, or higher income taxpayer. Free online tax filing state federal See Special Rules , later. Free online tax filing state federal If the result from using the general rule above suggests that you will not have enough withholding, complete the 2014 Estimated Tax Worksheet for a more accurate calculation. Free online tax filing state federal Figure 2-A takes you through the general rule. Free online tax filing state federal You may find this helpful in determining if you must pay estimated tax. Free online tax filing state federal If all your income will be subject to income tax withholding, you probably do not need to pay estimated tax. Free online tax filing state federal Example 1. Free online tax filing state federal Jane Smart uses Figure 2-A and the following information to figure whether she should pay estimated tax for 2014. Free online tax filing state federal She files as head of household claiming her dependent son, takes the standard deduction, and expects no refundable credits for 2014. Free online tax filing state federal Expected adjusted gross income (AGI) for 2014 $82,800 AGI for 2013 $73,700 Total tax on 2013 return (Form 1040,  line 61) $  8,746 Total 2014 estimated tax (line 13c of the 2014 Estimated Tax Worksheet) $11,015 Tax expected to be withheld in 2014 $10,000 Jane's answer to Figure 2-A, box 1, is YES; she expects to owe at least $1,000 for 2014 after subtracting her withholding from her expected total tax ($11,015 − $10,000 = $1,015). Free online tax filing state federal Her answer to box 2a is YES; she expects her income tax withholding ($10,000) to be at least 90% of the tax to be shown on her 2014 return ($11,015 × 90% = $9,913. Free online tax filing state federal 50). Free online tax filing state federal Jane does not need to pay estimated tax. Free online tax filing state federal Example 2. Free online tax filing state federal The facts are the same as in Example 1, except that Jane expects only $8,700 tax to be withheld in 2014. Free online tax filing state federal Because that is less than $9,913. Free online tax filing state federal 50, her answer to box 2a is NO. Free online tax filing state federal Jane's answer to box 2b is also NO; she does not expect her income tax withholding ($8,700) to be at least 100% of the total tax shown on her 2013 return ($8,746). Free online tax filing state federal Jane must increase her withholding or pay estimated tax for 2014. Free online tax filing state federal Example 3. Free online tax filing state federal The facts are the same as in Example 2, except that the total tax shown on Jane's 2013 return was $8,600. Free online tax filing state federal Because she expects to have more than $8,600 withheld in 2014 ($8,700), her answer to box 2b is YES. Free online tax filing state federal Jane does not need to pay estimated tax for 2014. Free online tax filing state federal Married Taxpayers If you qualify to make joint estimated tax payments, apply the rules discussed here to your joint estimated income. Free online tax filing state federal You and your spouse can make joint estimated tax payments even if you are not living together. Free online tax filing state federal However, you and your spouse cannot make joint estimated tax payments if: You are legally separated under a decree of divorce or separate maintenance, You and your spouse have different tax years, Either spouse is a nonresident alien (unless that spouse elected to be treated as a resident alien for tax purposes). Free online tax filing state federal See Choosing Resident Alien Status in Publication 519, or Individuals of the same sex and opposite sex who are in registered domestic partnerships, civil unions, or other similar formal relationships that are not marriages under state law cannot make joint estimated tax payments. Free online tax filing state federal These individuals can take credit only for the estimated tax payments that he or she made. Free online tax filing state federal If you and your spouse cannot make joint estimated tax payments, apply these rules to your separate estimated income. Free online tax filing state federal Making joint or separate estimated tax payments will not affect your choice of filing a joint tax return or separate returns for 2014. Free online tax filing state federal 2013 separate returns and 2014 joint return. Free online tax filing state federal   If you plan to file a joint return with your spouse for 2014, but you filed separate returns for 2013, your 2013 tax is the total of the tax shown on your separate returns. Free online tax filing state federal You filed a separate return if you filed as single, head of household, or married filing separately. Free online tax filing state federal 2013 joint return and 2014 separate returns. Free online tax filing state federal   If you plan to file a separate return for 2014, but you filed a joint return for 2013, your 2013 tax is your share of the tax on the joint return. Free online tax filing state federal You file a separate return if you file as single, head of household, or married filing separately. Free online tax filing state federal   To figure your share of the tax on a joint return, first figure the tax both you and your spouse would have paid had you filed separate returns for 2013 using the same filing status for 2014. Free online tax filing state federal Then multiply the tax on the joint return by the following fraction. Free online tax filing state federal      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. Free online tax filing state federal Joe and Heather filed a joint return for 2013 showing taxable income of $48,500 and a tax of $6,386. Free online tax filing state federal Of the $48,500 taxable income, $40,100 was Joe's and the rest was Heather's. Free online tax filing state federal For 2014, they plan to file married filing separately. Free online tax filing state federal Joe figures his share of the tax on the 2013 joint return as follows: Tax on $40,100 based on separate return $5,960 Tax on $8,400 based on separate return 843 Total $6,803 Joe's percentage of total ($5,960 ÷ $6,803) 87. Free online tax filing state federal 6% Joe's share of tax on joint return  ($6,386 × 87. Free online tax filing state federal 6%) $5,594 Special Rules There are special rules for farmers, fishermen, and certain higher income taxpayers. Free online tax filing state federal Farmers and Fishermen If at least two-thirds of your gross income for 2013 or 2014 is from farming or fishing, substitute 662/3% for 90% in (2a) under General Rule , earlier. Free online tax filing state federal Gross income. Free online tax filing state federal   Your gross income is all income you receive in the form of money, goods, property, and services that is not exempt from tax. Free online tax filing state federal To determine whether two-thirds of your gross income for 2013 was from farming or fishing, use as your gross income the total of the income (not loss) amounts. Free online tax filing state federal Joint returns. Free online tax filing state federal   On a joint return, you must add your spouse's gross income to your gross income to determine if at least two-thirds of your total gross income is from farming or fishing. Free online tax filing state federal Gross income from farming. Free online tax filing state federal   This is income from cultivating the soil or raising agricultural commodities. Free online tax filing state federal It includes the following amounts. Free online tax filing state federal Income from operating a stock, dairy, poultry, bee, fruit, or truck farm. Free online tax filing state federal Income from a plantation, ranch, nursery, range, orchard, or oyster bed. Free online tax filing state federal Crop shares for the use of your land. Free online tax filing state federal Gains from sales of draft, breeding, dairy, or sporting livestock. Free online tax filing state federal   For 2013, gross income from farming is the total of the following amounts. Free online tax filing state federal Schedule F (Form 1040), Profit or Loss From Farming, line 9. Free online tax filing state federal Form 4835, Farm Rental Income and Expenses, line 7. Free online tax filing state federal Your share of the gross farming income from a partnership, S corporation, estate or trust, from: Schedule K-1 (Form 1065), Schedule K-1 (Form 1120S), or Schedule K-1 (Form 1041). Free online tax filing state federal Your gains from sales of draft, breeding, dairy, or sporting livestock shown on Form 4797, Sales of Business Property. Free online tax filing state federal   Wages you receive as a farm employee and wages you receive from a farm corporation are not gross income from farming. Free online tax filing state federal Gross income from fishing. Free online tax filing state federal   This is income from catching, taking, harvesting, cultivating, or farming any kind of fish, shellfish (for example, clams and mussels), crustaceans (for example, lobsters, crabs, and shrimp), sponges, seaweeds, or other aquatic forms of animal and vegetable life. Free online tax filing state federal   Gross income from fishing includes the following amounts. Free online tax filing state federal Schedule C (Form 1040), Profit or Loss From Business. Free online tax filing state federal Income for services as an officer or crew member of a vessel while the vessel is engaged in fishing. Free online tax filing state federal Your share of the gross fishing income from a partnership, S corporation, estate or trust, from: Schedule K-1 (Form 1065), Schedule K-1 (Form 1120S), or Schedule K-1 (Form 1041). Free online tax filing state federal Certain taxable interest and punitive damage awards received in connection with the Exxon Valdez litigation. Free online tax filing state federal Income for services normally performed in connection with fishing. Free online tax filing state federal Services normally performed in connection with fishing include: Shore service as an officer or crew member of a vessel engaged in fishing, and Services that are necessary for the immediate preservation of the catch, such as cleaning, icing, and packing the catch. Free online tax filing state federal Higher Income Taxpayers If your AGI for 2013 was more than $150,000 ($75,000 if your filing status for 2014 is married filing a separate return), substitute 110% for 100% in (2b) under General Rule , earlier. Free online tax filing state federal For 2013, AGI is the amount shown on Form 1040, line 37; Form 1040A, line 21; and Form 1040EZ, line 4. Free online tax filing state federal Note. Free online tax filing state federal This rule does not apply to farmers and fishermen. Free online tax filing state federal Aliens Resident and nonresident aliens also may have to pay estimated tax. Free online tax filing state federal Resident aliens should follow the rules in this publication, unless noted otherwise. Free online tax filing state federal Nonresident aliens should get Form 1040-ES (NR), U. Free online tax filing state federal S. Free online tax filing state federal Estimated Tax for Nonresident Alien Individuals. Free online tax filing state federal You are an alien if you are not a citizen or national of the United States. Free online tax filing state federal You are a resident alien if you either have a green card or meet the substantial presence test. Free online tax filing state federal For more information about withholding, the substantial presence test, and Form 1040-ES (NR), see Publication 519. Free online tax filing state federal Estates and Trusts Estates and trusts also must pay estimated tax. Free online tax filing state federal 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 2 years after the decedent's death. Free online tax filing state federal Estates and trusts must use Form 1041-ES, Estimated Income Tax for Estates and Trusts, to figure and pay estimated tax. Free online tax filing state federal How To Figure Estimated Tax To figure your estimated tax, you must figure your expected AGI, taxable income, taxes, deductions, and credits for the year. Free online tax filing state federal When figuring your 2014 estimated tax, it may be helpful to use your income, deductions, and credits for 2013 as a starting point. Free online tax filing state federal Use your 2013 federal tax return as a guide. Free online tax filing state federal You can use Form 1040-ES to figure your estimated tax. Free online tax filing state federal Nonresident aliens use Form 1040-ES (NR) to figure estimated tax. Free online tax filing state federal You must make adjustments both for changes in your own situation and for recent changes in the tax law. Free online tax filing state federal Some of these changes are discussed under What's New for 2014 , earlier. Free online tax filing state federal For information about these and other changes in the law, visit the IRS website at IRS. Free online tax filing state federal gov. Free online tax filing state federal The instructions for Form 1040-ES include a worksheet to help you figure your estimated tax. Free online tax filing state federal Keep the worksheet for your records. Free online tax filing state federal 2014 Estimated Tax Worksheet Use Worksheet 2-1 to help guide you through the information about completing the 2014 Estimated Tax Worksheet. Free online tax filing state federal You can also find a copy of the worksheet in the Instructions for Form 1040-ES. Free online tax filing state federal Expected AGI—Line 1 Your expected AGI for 2014 (line 1) is your expected total income minus your expected adjustments to income. Free online tax filing state federal Total income. Free online tax filing state federal   Include in your total income all the income you expect to receive during the year, even income that is subject to withholding. Free online tax filing state federal However, do not include income that is tax exempt. Free online tax filing state federal   Total income includes all income and loss for 2014 that, if you had received it in 2013, would have been included on your 2013 tax return in the total on line 22 of Form 1040, line 15 of Form 1040A, or line 4 of Form 1040EZ. Free online tax filing state federal Social security and railroad retirement benefits. Free online tax filing state federal If you expect to receive social security or tier 1 railroad retirement benefits during 2014, use Worksheet 2-2 to figure the amount of expected taxable benefits you should include on line 1. Free online tax filing state federal Adjustments to income. Free online tax filing state federal   Be sure to subtract from your expected total income all of the adjustments you expect to take on your 2014 tax return. Free online tax filing state federal Self-employed. Free online tax filing state federal If you expect to have income from self-employment, use Worksheet 2-3 to figure your expected self-employment tax and your allowable deduction for self-employment tax. Free online tax filing state federal Include the amount from Worksheet 2-3 in your expected adjustments to income. Free online tax filing state federal If you file a joint return and both you and your spouse have net earnings from self-employment, each of you must complete a separate worksheet. Free online tax filing state federal Expected Taxable Income— Lines 2–5 Reduce your expected AGI for 2014 (line 1) by either your expected itemized deductions or your standard deduction and by your exemptions (lines 2 through 5). Free online tax filing state federal Itemized deductions—line 2. Free online tax filing state federal   If you expect to claim itemized deductions on your 2014 tax return, enter the estimated amount on line 2. Free online tax filing state federal   Itemized deductions are the deductions that can be claimed on Schedule A (Form 1040). Free online tax filing state federal    For 2014, your total itemized deductions may be reduced if your AGI is more than the amount shown next for your filing status. Free online tax filing state federal Single $254,200 Married filing jointly or qualifying widow(er) $305,050 Married filing separately $152,525 Head of household $279,650   If you expect your AGI to be more than this amount, use Worksheet 2-5 to figure the amount to enter on line 2. Free online tax filing state federal Standard deduction—line 2. Free online tax filing state federal   If you expect to claim the standard deduction on your 2014 tax return, enter the amount on line 2. Free online tax filing state federal Use Worksheet 2-4 to figure your standard deduction. Free online tax filing state federal No standard deduction. Free online tax filing state federal   The standard deduction for some individuals is zero. Free online tax filing state federal Your standard deduction will be zero if you: File a separate return and your spouse itemizes deductions, Are a dual-status alien, or File a return for a period of less than 12 months because you change your accounting period. Free online tax filing state federal Exemptions—line 4. Free online tax filing state federal   After you have subtracted either your expected itemized deductions or your standard deduction from your expected AGI, reduce the amount remaining by $3,950 for each exemption you expect to take on your 2014 tax return. Free online tax filing state federal If another person (such as your parent) can claim an exemption for you on his or her tax return, you cannot claim your own personal exemption. Free online tax filing state federal This is true even if the other person will not claim your exemption or the exemption will be reduced or eliminated under the phaseout rule. Free online tax filing state federal    For 2014, your deduction for personal exemption is reduced if your AGI is more than the amount shown next for your filing status. Free online tax filing state federal Single $254,200 Married filing jointly or qualifying widow(er) $305,050 Married filing separately $152,525 Head of household $279,650   If you expect your AGI to be more than this amount, use Worksheet 2-6 to figure the amount to enter on line 4. Free online tax filing state federal Expected Taxes and Credits— Lines 6–13c After you have figured your expected taxable income (line 5), follow the steps next to figure your expected taxes, credits, and total tax for 2014. Free online tax filing state federal Most people will have entries for only a few of these steps. Free online tax filing state federal However, you should check every step to be sure you do not overlook anything. Free online tax filing state federal Step 1. Free online tax filing state federal   Figure your expected income tax (line 6). Free online tax filing state federal Generally, you will use the 2014 Tax Rate Schedules, later, to figure your expected income tax. Free online tax filing state federal   However, see below for situations where you must use a different method to compute your estimated tax. Free online tax filing state federal Tax on child's investment income. Free online tax filing state federal   You must use a special method to figure tax on the income of the following children who have more than $2,000 of investment income. Free online tax filing state federal Children under age 18 at the end of 2014. Free online tax filing state federal The following children if their earned income is not more than half their support. Free online tax filing state federal Children age 18 at the end of 2014. Free online tax filing state federal Children who are full-time students over age 18 and under age 24 at the end of 2014. Free online tax filing state federal See Publication 929, Tax Rules for Children and Dependents. Free online tax filing state federal Although the ages and dollar amounts in the publication may be different in the 2014 revision, this reference will give you basic information for figuring the tax. Free online tax filing state federal Tax on net capital gain. Free online tax filing state federal   The regular income tax rates for individuals do not apply to a net capital gain. Free online tax filing state federal Instead, your net capital gain is taxed at a lower maximum rate. Free online tax filing state federal   The term “net capital gain” means the amount by which your net long-term capital gain for the year is more than your net short-term capital loss. Free online tax filing state federal Tax on capital gain and qualified dividends. Free online tax filing state federal If the amount on line 1 includes a net capital gain or qualified dividends, use Worksheet 2-7 to figure your tax. Free online tax filing state federal Note. Free online tax filing state federal For 2014, your capital gains and dividends rate will depend on your income. Free online tax filing state federal Tax if excluding foreign earned income or excluding or deducting foreign housing. Free online tax filing state federal If you expect to claim the foreign earned income exclusion or the housing exclusion or deduction on Form 2555 or Form 2555-EZ, use Worksheet 2-8 to figure your estimated tax. Free online tax filing state federal Step 2. Free online tax filing state federal   Total your expected taxes (line 8). Free online tax filing state federal Include on line 8 the sum of the following. Free online tax filing state federal Your tax on line 6. Free online tax filing state federal Your expected alternative minimum tax (AMT) from Form 6251, or included on Form 1040A. Free online tax filing state federal Your expected additional taxes from Form 8814, Parents' Election To Report Child's Interest and Dividends, and Form 4972, Tax on Lump-Sum Distributions. Free online tax filing state federal Any recapture of education credits. Free online tax filing state federal Step 3. Free online tax filing state federal   Subtract your expected credits (line 9). Free online tax filing state federal If you are using your 2013 return as a guide and filed Form 1040, your total credits for 2013 were shown on line 54. Free online tax filing state federal If you filed Form 1040A, your total credits for 2013 were on line 34. Free online tax filing state federal   If your credits on line 9 are more than your taxes on line 8, enter “-0-” on line 10 and go to Step 4. Free online tax filing state federal Step 4. Free online tax filing state federal   Add your expected self-employment tax (line 11). Free online tax filing state federal You already should have figured your self-employment tax (see Self-employed under Expected AGI—Line 1, earlier). Free online tax filing state federal Step 5. Free online tax filing state federal   Add your expected other taxes (line 12). Free online tax filing state federal   Other taxes include the following. Free online tax filing state federal Additional tax on early distributions from: An IRA or other qualified retirement plan, A tax-sheltered annuity, or A modified endowment contract entered into after June 20, 1988. Free online tax filing state federal Household employment taxes if: You will have federal income tax withheld from wages, pensions, annuities, gambling winnings, or other income, or You would be required to make estimated tax payments even if you did not include household employment taxes when figuring your estimated tax. Free online tax filing state federal Amounts written on Form 1040 on the line for “other taxes” (line 60 on the 2013 Form 1040). Free online tax filing state federal But, do not include recapture of a federal mortgage subsidy; tax on excess 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; uncollected social security and Medicare tax or RRTA tax on tips or group-term life insurance; or additional tax on advance payments of health coverage tax credit when not eligible. Free online tax filing state federal Repayment of the first-time homebuyer credit. Free online tax filing state federal See Form 5405. Free online tax filing state federal Additional Medicare Tax. Free online tax filing state federal A 0. Free online tax filing state federal 9% Additional Medicare Tax applies to your combined Medicare wages and self-employment income and/or your RRTA compensation that exceeds the amount listed in the following chart, based on your filing status. Free online tax filing state federal Filing Status Threshold Amount Married filing jointly $250,000 Married filing separately $125,000 Single $200,000 Head of household $200,000 Qualifying Widow(er) $200,000 Medicare wages and self-employment income are combined to determine if your income exceeds the threshold. Free online tax filing state federal A self-employment loss should not be considered for purposes of this tax. Free online tax filing state federal RRTA compensation should be separately compared to the threshold. Free online tax filing state federal Your employer is responsible for withholding the 0. Free online tax filing state federal 9% Additional Medicare Tax on Medicare wages or RRTA compensation it pays to you in excess of $200,000 in 2014. Free online tax filing state federal You should consider this withholding, if applicable, in determining whether you need to make an estimated payment. Free online tax filing state federal For more information on Additional Medicare Tax, go to IRS. Free online tax filing state federal gov and enter “Additional Medicare Tax” in the search box. Free online tax filing state federal Net Investment Income Tax (NIIT). Free online tax filing state federal The NIIT is 3. Free online tax filing state federal 8% of the lesser of your net investment income or the excess of your modified adjusted gross income over the amount listed in the following chart, based on your filing status. Free online tax filing state federal Filing Status Threshold Amount Married filing jointly $250,000 Married filing separately $125,000 Single $200,000 Head of household $200,000 Qualifying Widow(er) $250,000 For more information on Net Investment Income Tax, go to IRS. Free online tax filing state federal gov and enter “Net Investment Income Tax” in the search box. Free online tax filing state federal Step 6. Free online tax filing state federal   Subtract your refundable credit (line 13b). Free online tax filing state federal   To figure your expected fuel tax credit, do not include fuel tax for the first three quarters of the year that you expect to have refunded to you. Free online tax filing state federal   The result of steps 1 through 6 is your total estimated tax for 2014 (line 13c). Free online tax filing state federal Required Annual Payment— Line 14c On lines 14a through 14c, figure the total amount you must pay for 2014, through withholding and estimated tax payments, to avoid paying a penalty. Free online tax filing state federal General rule. Free online tax filing state federal   The total amount you must pay is the smaller of: 90% of your total expected tax for 2014, or 100% of the total tax shown on your 2013 return. Free online tax filing state federal Your 2013 tax return must cover all 12 months. Free online tax filing state federal Special rules. Free online tax filing state federal   There are special rules for higher income taxpayers and for farmers and fishermen. Free online tax filing state federal Higher income taxpayers. Free online tax filing state federal   If your AGI for 2013 was more than $150,000 ($75,000 if your filing status for 2014 is married filing separately), substitute 110% for 100% in (2) above. Free online tax filing state federal This rule does not apply to farmers and fishermen. Free online tax filing state federal For 2013, AGI is the amount shown on Form 1040, line 37; Form 1040A, line 21; and Form 1040EZ, line 4. Free online tax filing state federal Example. Free online tax filing state federal   Jeremy Martin's total tax on his 2013 return was $42,581, and his expected tax for 2014 is $71,253. Free online tax filing state federal His 2013 AGI was $180,000. Free online tax filing state federal Because Jeremy had more than $150,000 of AGI in 2013, he figures his required annual payment as follows. Free online tax filing state federal He determines that 90% of his expected tax for 2014 is $64,128 (. Free online tax filing state federal 90 × $71,253). Free online tax filing state federal Next, he determines that 110% of the tax shown on his 2013 return is $46,839 (1. Free online tax filing state federal 10 x $42,581). Free online tax filing state federal Finally, he determines that his required annual payment is $46,839, the smaller of the two. Free online tax filing state federal Farmers and fishermen. Free online tax filing state federal   If at least two-thirds of your gross income for 2013 or 2014 is from farming or fishing, your required annual payment is the smaller of: 662/3% (. Free online tax filing state federal 6667) of your total tax for 2014, or 100% of the total tax shown on your 2013 return. Free online tax filing state federal (Your 2013 tax return must cover all 12 months. Free online tax filing state federal )   For definitions of “gross income from farming” and “gross income from fishing,” see Farmers and Fishermen , under Special Rules discussed earlier. Free online tax filing state federal Total tax for 2013—line 14b. Free online tax filing state federal   Your 2013 total tax, if you filed Form 1040, is the amount on line 61 reduced by the following. Free online tax filing state federal Unreported social security and Medicare tax or RRTA tax from Forms 4137 or 8919 (line 57). Free online tax filing state federal The following amounts from Form 5329 included on line 58. Free online tax filing state federal Any tax on excess contributions to IRAs, Archer MSAs, Coverdell education savings accounts, and health savings accounts. Free online tax filing state federal Any tax on excess accumulations in qualified retirement plans. Free online tax filing state federal The following write-ins on line 60. Free online tax filing state federal Excise tax on excess golden parachute payments (identified as “EPP”). Free online tax filing state federal Excise tax on insider stock compensation from an expatriated corporation (identified as “ISC”). Free online tax filing state federal Look-back interest due under section 167(g) (identified as “From Form 8866”). Free online tax filing state federal Look-back interest due under section 460(b) (identified as “From Form 8697”). Free online tax filing state federal Recapture of federal mortgage subsidy (identified as “FMSR”). Free online tax filing state federal Additional tax on advance payments of health coverage tax credit when not eligible (identified as “HCTC”). Free online tax filing state federal Uncollected social security and Medicare tax or RRTA tax on tips or group-term life insurance (identified as “UT”). Free online tax filing state federal Any refundable credit amounts. Free online tax filing state federal   If you filed Form 1040A, your 2013 total tax is the amount on line 35 reduced by any refundable credits. Free online tax filing state federal   If you filed Form 1040EZ, your 2013 total tax is the amount on line 10 reduced by the amount on line 8a. Free online tax filing state federal Total Estimated Tax Payments Needed—Line 16a Use lines 15 and 16a to figure the total estimated tax you may be required to pay for 2014. Free online tax filing state federal Subtract your expected withholding from your required annual payment (line 14c). Free online tax filing state federal You usually must pay this difference in four equal installments. Free online tax filing state federal See When To Pay Estimated Tax and How To Figure Each Payment . Free online tax filing state federal You do not have to pay estimated tax if: Line 14c minus line 15 is zero or less, or Line 13c minus line 15 is less than $1,000. Free online tax filing state federal Withholding—line 15. Free online tax filing state federal   Your expected withholding for 2014 (line 15) includes the income tax you expect to be withheld from all sources (wages, pensions and annuities, etc. Free online tax filing state federal ). Free online tax filing state federal It includes excess social security, and tier 1 railroad retirement tax you expect to be withheld from your wages and compensation. Free online tax filing state federal For this purpose, you will have excess social security or tier 1 railroad retirement tax withholding for 2014 only if your wages and compensation from two or more employers are more than $117,000. Free online tax filing state federal See Excess Social Security or Railroad Retirement Tax Withholding in chapter 3. Free online tax filing state federal   It also includes Additional Medicare Tax you expect to be withheld from your wages or compensation. Free online tax filing state federal Your employer is responsible for withholding the 0. Free online tax filing state federal 9% Additional Medicare Tax on Medicare wages or RRTA compensation it pays to you in excess of $200,000. Free online tax filing state federal When To Pay Estimated Tax For estimated tax purposes, the year is divided into four payment periods. Free online tax filing state federal Each period has a specific payment due date. Free online tax filing state federal 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. Free online tax filing state federal If a payment is mailed, the date of the U. Free online tax filing state federal S. Free online tax filing state federal postmark is considered the date of payment. Free online tax filing state federal The payment periods and due dates for estimated tax payments are shown next. Free online tax filing state federal For exceptions to the dates listed, see Saturday, Sunday, holiday rule below. Free online tax filing state federal For the period: Due date: Jan. Free online tax filing state federal 11 – March 31 April 15 April 1 – May 31 June 16 June 1 – August 31 September 15 Sept. Free online tax filing state federal 1 – Dec. Free online tax filing state federal 31 January 15  next year2 1If your tax year does not begin on January 1,  see Fiscal year taxpayers . Free online tax filing state federal 2See January payment . Free online tax filing state federal Saturday, Sunday, holiday rule. Free online tax filing state federal   If the due date for an estimated tax payment falls on a Saturday, Sunday, or legal holiday, the payment will be on time if you make it on the next day that is not a Saturday, Sunday, or a holiday. Free online tax filing state federal January payment. Free online tax filing state federal   If you file your 2014 Form 1040 or Form 1040A by February 2, 2015, and pay the rest of the tax you owe, you do not need to make the payment due on January 15, 2015. Free online tax filing state federal Example. Free online tax filing state federal Janet Adams does not pay any estimated tax for 2014. Free online tax filing state federal She files her 2014 income tax return and pays the balance due shown on her return on January 26, 2015. Free online tax filing state federal Janet's estimated tax for the fourth payment period is considered to have been paid on time. Free online tax filing state federal However, she may owe a penalty for not making the first three estimated tax payments, if required. Free online tax filing state federal Any penalty for not making those payments will be figured up to January 26, 2015. Free online tax filing state federal Fiscal year taxpayers. Free online tax filing state federal   If your tax year does not start on January 1, your payment due dates are: The 15th day of the 4th month of your fiscal year, The 15th day of the 6th month of your fiscal year, The 15th day of the 9th month of your fiscal year, and The 15th day of the 1st month after the end of your fiscal year. Free online tax filing state federal   You do not have to make the last payment listed above if you file your income tax return by the last day of the first month after the end of your fiscal year and pay all the tax you owe with your return. Free online tax filing state federal When To Start You do not have to make estimated tax payments until you have income on which you will owe income tax. Free online tax filing state federal 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. Free online tax filing state federal You have several options when paying estimated taxes. Free online tax filing state federal You can: apply an overpayment from the previous tax year, pay all your estimated tax by the due date of your first payment, or pay it in installments. Free online tax filing state federal If you choose to pay in installments, make your first payment by the due date for the first payment period. Free online tax filing state federal Make your remaining installment payments by the due dates for the later periods. Free online tax filing state federal To avoid any estimated tax penalties, all installments must be paid by their due date and for the required amount. Free online tax filing state federal No income subject to estimated tax during first period. Free online tax filing state federal   If you do not have income subject to estimated tax until a later payment period, you must make your first payment by the due date for that period. Free online tax filing state federal You can pay your entire estimated tax by the due date for that period or you can pay it in installments by the due date for that period and the due dates for the remaining periods. Free online tax filing state federal Table 2-1 shows the dates for making installment payments. Free online tax filing state federal    Table 2-1. Free online tax filing state federal 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 16     Sept. Free online tax filing state federal 15     Jan. Free online tax filing state federal 15 next year April 1–May 31 June 16 Sept. Free online tax filing state federal 15     Jan. Free online tax filing state federal 15 next year June 1–Aug. Free online tax filing state federal 31 Sept. Free online tax filing state federal 15 Jan. Free online tax filing state federal 15 next year After Aug. Free online tax filing state federal 31 Jan. Free online tax filing state federal 15 next year (None) *See January payment and Saturday, Sunday, holiday rule . Free online tax filing state federal How much to pay to avoid penalty. Free online tax filing state federal   To determine how much you should pay by each payment due date, see How To Figure Each Payment , later. Free online tax filing state federal Farmers and Fishermen If at least two-thirds of your gross income for 2013 or 2014 is from farming or fishing, you have only one payment due date for your 2014 estimated tax, January 15, 2015. Free online tax filing state federal The due dates for the first three payment periods, discussed under When To Pay Estimated Tax , earlier, do not apply to you. Free online tax filing state federal If you file your 2014 Form 1040 by March 2, 2015, and pay all the tax you owe at that time, you do not need to make an estimated tax payment. Free online tax filing state federal Fiscal year farmers and fishermen. Free online tax filing state federal   If you are a farmer or fisherman, but your tax year does not start on January 1, you can either: Pay all your estimated tax by the 15th day after the end of your tax year, or 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. Free online tax filing state federal How To Figure Each Payment After you have figured your total estimated tax, figure how much you must pay by the due date of each payment period. Free online tax filing state federal You should pay enough by each due date to avoid a penalty for that period. Free online tax filing state federal 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. Free online tax filing state federal The penalty is discussed in chapter 4. Free online tax filing state federal Regular Installment Method If your first estimated tax payment is due April 15, 2014, you can figure your required payment for each period by dividing your annual estimated tax due (line 16a of the 2014 Estimated Tax Worksheet (Worksheet 2-1)) by 4. Free online tax filing state federal Enter this amount on line 17. Free online tax filing state federal However, use this method only if your income is basically the same throughout the year. Free online tax filing state federal Change in estimated tax. Free online tax filing state federal   After you make an estimated tax payment, changes in your income, adjustments, deductions, credits, or exemptions may make it necessary for you to refigure your estimated tax. Free online tax filing state federal Pay the unpaid balance of your amended estimated tax by the next payment due date after the change or in installments by that date and the due dates for the remaining payment periods. Free online tax filing state federal If you do not receive your income evenly throughout the year, your required estimated tax payments may not be the same for each period. Free online tax filing state federal See Annualized Income Installment Method . Free online tax filing state federal Amended estimated tax. Free online tax filing state federal If you refigure your estimated tax during the year, or if your first estimated tax payment is due after April 15, 2014, figure your required payment for each remaining payment period using Worksheet 2-14. Free online tax filing state federal Example. Free online tax filing state federal Early in 2014, Mira Roberts figures that her estimated tax due is $1,800. Free online tax filing state federal She makes estimated tax payments on April 15 and June 16 of $450 each ($1,800 ÷ 4). Free online tax filing state federal On July 10, she sells investment property at a gain. Free online tax filing state federal Her refigured estimated tax is $4,100. Free online tax filing state federal Her required estimated tax payment for the third payment period is $2,175, as shown in her filled-in Worksheet 2-14. Free online tax filing state federal If Mira's estimated tax does not change again, her required estimated tax payment for the fourth payment period will be $1,025. Free online tax filing state federal Worksheet 2-14. Free online tax filing state federal Amended Estimated Tax Worksheet—Illustrated               1. Free online tax filing state federal Amended total estimated tax due 1. Free online tax filing state federal $4,100 2. Free online tax filing state federal Multiply line 1 by:           50% (. Free online tax filing state federal 50) if next payment is due June 16, 2014           75% (. Free online tax filing state federal 75) if next payment is due September 15,  2014           100% (1. Free online tax filing state federal 00) if next payment is due January 15,  2015 2. Free online tax filing state federal 3,075     3. Free online tax filing state federal Estimated tax payments for all previous periods 3. Free online tax filing state federal 900     4. Free online tax filing state federal 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. Free online tax filing state federal $2,175       Note. Free online tax filing state federal If the payment on line 4 is due January 15, 2015, stop here. Free online tax filing state federal Otherwise, go to line 5. Free online tax filing state federal         5. Free online tax filing state federal Add lines 3 and 4 5. Free online tax filing state federal 3,075 6. Free online tax filing state federal Subtract line 5 from line 1 and enter the result (but not less than zero) 6. Free online tax filing state federal 1,025 7. Free online tax filing state federal Each following required payment: If the payment on line 4 is due June 16, 2014, enter one-half of the amount on line 6 here and on the payment vouchers for your payments due September 15, 2014, and January 15, 2015. Free online tax filing state federal If the amount on line 4 is due September 15, 2014, enter the amount from line 6 here and on the payment voucher for your payment due January 15, 2015 7. Free online tax filing state federal $1,025 Worksheet 2-14. Free online tax filing state federal Amended Estimated Tax Worksheet—Blank               1. Free online tax filing state federal Amended total estimated tax due 1. Free online tax filing state federal   2. Free online tax filing state federal Multiply line 1 by:           50% (. Free online tax filing state federal 50) if next payment is due June 16, 2014           75% (. Free online tax filing state federal 75) if next payment is due September 15,  2014           100% (1. Free online tax filing state federal 00) if next payment is due January 15,  2015 2. Free online tax filing state federal       3. Free online tax filing state federal Estimated tax payments for all previous periods 3. Free online tax filing state federal       4. Free online tax filing state federal 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. Free online tax filing state federal         Note. Free online tax filing state federal If the payment on line 4 is due January 15, 2015, stop here. Free online tax filing state federal Otherwise, go to line 5. Free online tax filing state federal         5. Free online tax filing state federal Add lines 3 and 4 5. Free online tax filing state federal   6. Free online tax filing state federal Subtract line 5 from line 1 and enter the result (but not less than zero) 6. Free online tax filing state federal   7. Free online tax filing state federal Each following required payment: If the payment on line 4 is due June 16, 2014, enter one-half of the amount on line 6 here and on the payment vouchers for your payments due September 15, 2014, and January 15, 2015. Free online tax filing state federal If the amount on line 4 is due September 15, 2014, enter the amount from line 6 here and on the payment voucher for your payment due January 15, 2015 7. Free online tax filing state federal   Underpayment penalty. Free online tax filing state federal   The penalty is figured separately for each payment period. Free online tax filing state federal If you figure your payments using the regular installment method and later refigure your payments because of an increase in income, you may be charged a penalty for underpayment of estimated tax for the period(s) before you changed your payments. Free online tax filing state federal To see how you may be able to avoid or reduce this penalty, see Annualized Income Installment Method (Schedule AI) in chapter 4. Free online tax filing state federal Annualized Income Installment Method 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. Free online tax filing state federal 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. Free online tax filing state federal To see whether you can pay less for any period, complete the 2014 Annualized Estimated Tax Worksheet (Worksheet 2-9). Free online tax filing state federal You first must complete the 2014 Estimated Tax Worksheet (Worksheet 2-1) through line 16b. Free online tax filing state federal Use the result you figure on line 32 of Worksheet 2-9 to make your estimated tax payments and complete your payment vouchers. Free online tax filing state federal Note. Free online tax filing state federal If you use the annualized income installment method to figure your estimated tax payments, you must file Form 2210 with your 2014 tax return. Free online tax filing state federal See Annualized Income Installment Method (Schedule AI) in chapter 4 for more information. Free online tax filing state federal Instructions for the 2014 Annualized Estimated Tax Worksheet (Worksheet 2-9) Use Worksheet 2-9 to help you follow these instructions. Free online tax filing state federal 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. Free online tax filing state federal The top of the worksheet shows the dates for each payment period. Free online tax filing state federal The periods build; that is, each period includes all previous periods. Free online tax filing state federal After the end of each payment period, complete the corresponding worksheet column to figure the payment due for that period. Free online tax filing state federal Line 1. Free online tax filing state federal   Enter your AGI for the period. Free online tax filing state federal This is your gross income for the period, including your share of partnership or S corporation income or loss, minus your adjustments to income for that period. Free online tax filing state federal See Expected AGI—Line 1 , earlier. Free online tax filing state federal Self-employment income. Free online tax filing state federal   If you had self-employment income, first complete Section B of this worksheet. Free online tax filing state federal Use the amounts on line 43 when figuring your expected AGI to enter in each column of Section A, line 1. Free online tax filing state federal Line 4. Free online tax filing state federal   Be sure to consider all deduction limits figured on Schedule A (Form 1040), such as reducing your medical expenses by 10% (7. Free online tax filing state federal 5% if either you or your spouse was born before January 2, 1950) or reducing certain miscellaneous deductions by 2% of your AGI. Free online tax filing state federal Figure your deduction limits using your expected AGI in the corresponding column of line 1 (2014 Annualized Estimated Tax Worksheet (Worksheet 2-9)). Free online tax filing state federal Line 6. Free online tax filing state federal   Multiply line 4 by line 5 and enter the result on line 6 unless line 3 is more than $305,050 if married filing jointly or qualifying widow(er), $279,650 if head of household, $254,200 if single, or $152,525 if married filing separately. Free online tax filing state federal In that case, use Worksheet 2-10 to figure the amount to enter on line 6. Free online tax filing state federal Complete Worksheet 2–10 for each period, as necessary. Free online tax filing state federal Line 7. Free online tax filing state federal   If you will not itemize your deductions, use Worksheet 2-4 to figure your standard deduction. Free online tax filing state federal Line 10. Free online tax filing state federal   Multiply $3,950 by your total expected exemptions and enter the result on line 10 unless line 3 is more than $305,050 if married filing jointly or qualifying widow(er), $279,650 if head of household, $254,200 if single, or $152,525 if married filing separately. Free online tax filing state federal   In that case, use Worksheet 2-11 to figure the amount to enter on line 10. Free online tax filing state federal Line 12. Free online tax filing state federal   Generally, you will use the Tax Rate Schedules to figure the tax on your annualized income. Free online tax filing state federal However, see below for situations where you must use a different method to compute your estimated tax. Free online tax filing state federal Tax on child's investment income. Free online tax filing state federal   You must use a special method to figure tax on the income of the following children who have more than $2,000 of investment income. Free online tax filing state federal Children under age 18 at the end of 2014. Free online tax filing state federal The following children if their earned income is not more than half their support. Free online tax filing state federal Children age 18 at the end of 2014. Free online tax filing state federal Children who are full-time students over age 18 and under age 24 at the end of 2014. Free online tax filing state federal See Publication 929. Free online tax filing state federal Tax on net capital gain. Free online tax filing state federal   The regular income tax rates for individuals do not apply to a net capital gain. Free online tax filing state federal Instead, your net capital gain is taxed at a lower maximum rate. Free online tax filing state federal   The term “net capital gain” means the amount by which your net long-term capital gain for the year is more than your net short-term capital loss. Free online tax filing state federal Tax on qualified dividends and capital gains. Free online tax filing state federal   For 2014, your capital gain and dividends rate will depend on your income. Free online tax filing state federal Tax on capital gain or qualified dividends. Free online tax filing state federal If the amount on line 1 includes a net capital gain or qualified dividends, use Worksheet 2-12 to figure the amount to enter on line 12. Free online tax filing state federal Tax if excluding foreign earned income or excluding or deducting foreign housing. Free online tax filing state federal If you expect to claim the foreign earned income exclusion or the housing exclusion or deduction on Form 2555 or Form 2555-EZ, use Worksheet 2-13 to figure the amount to enter on line 12. Free online tax filing state federal Line 13. Free online tax filing state federal   If you file Form 1040, add the tax from Forms 8814, 4972, and 6251 for the period. Free online tax filing state federal If you file Form 1040A, add the amount from the Alternative Minimum Tax Worksheet found in the instructions. Free online tax filing state federal Also include any recapture of an education credit for each period. Free online tax filing state federal You may owe this tax if you claimed an education credit in an earlier year and you received either tax-free educational assistance or a refund of qualifying expenses for the same student after filing your 2013 return. Free online tax filing state federal   Use the 2013 forms or worksheets to see if you will owe any of the taxes discussed above. Free online tax filing state federal Figure the tax based on your income and deductions during the period shown in the column headings. Free online tax filing state federal Multiply this amount by the annualization amounts shown for each column on line 2 of the 2014 Annualized Estimated Tax Worksheet (Worksheet 2-9). Free online tax filing state federal Enter the result on line 13 of this worksheet. Free online tax filing state federal Line 15. Free online tax filing state federal   Include all the nonrefundable credits you expect to claim because of events that will occur during the period. Free online tax filing state federal Note. Free online tax filing state federal When figuring your credits for each period, annualize any item of income or deduction to figure each credit. Free online tax filing state federal For example, if you need to use your AGI to figure a credit, use line 3 of Worksheet 2-9 to figure the credit for each column. Free online tax filing state federal Line 18. Free online tax filing state federal   Add your expected other taxes. Free online tax filing state federal   Other taxes include the following. Free online tax filing state federal Additional tax on early distributions from: An IRA or other qualified retirement plan, A tax-sheltered annuity, or A modified endowment contract entered into after June 20, 1988. Free online tax filing state federal Household employment taxes if: You will have federal income tax withheld from wages, pensions, annuities, gambling winnings, or other income, or You would be required to make estimated tax payments even if you did not include household employment taxes when figuring your estimated tax. Free online tax filing state federal Amounts on Form 1040 written on the line for “other taxes” (line 60 on the 2013 Form 1040). Free online tax filing state federal But do not include recapture of a federal mortgage subsidy; tax on excess 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; uncollected social security, Medicare, or RRTA tax on tips or group-term life insurance; or additional tax on advance payments of health coverage tax credit when not eligible. Free online tax filing state federal Repayment of the first-time homebuyer credit if the home will cease to be your main home in 2014. Free online tax filing state federal See Form 5405 for exceptions. Free online tax filing state federal Additional Medicare Tax. Free online tax filing state federal A 0. Free online tax filing state federal 9% Additional Medicare Tax applies to your combined Medicare wages and self-employment income and/or your RRTA compensation that exceeds the amount listed in the following chart, based on your filing status. Free online tax filing state federal Filing Status Threshold Amount Married filing jointly $250,000 Married filing separately $125,000 Single $200,000 Head of household $200,000 Qualifying Widow(er) $200,000 Medicare wages and self-employment income are combined to determine if your income exceeds the threshold. Free online tax filing state federal A self-employment loss should not be considered for purposes of this tax. Free online tax filing state federal RRTA compensation should be separately compared to the threshold. Free online tax filing state federal Your employer is responsible for withholding the 0. Free online tax filing state federal 9% Additional Medicare Tax on Medicare wages or RRTA compensation it pays you in excess of $200,000 in 2014. Free online tax filing state federal You should consider this withholding, if applicable, in determining whether you need to make an estimated payment. Free online tax filing state federal For more information on Additional Medicare Tax, go to IRS. Free online tax filing state federal gov and enter “Additional Medicare Tax” in the search box. Free online tax filing state federal Net Investment Income Tax (NIIT). Free online tax filing state federal The NIIT is 3. Free online tax filing state federal 8% of the lesser of your net investment income or the excess of your modified adjusted gross income over a specified threshold amount. Free online tax filing state federal Threshold amounts: Filing Status Threshold Amount Married filing jointly $250,000 Married filing separately $125,000 Single $200,000 Head of household $200,000 Qualifying Widow(er) $250,000 For more information on Net Investment Income Tax, go to IRS. Free online tax filing state federal gov and enter “Net Investment Income Tax” in the search box. Free online tax filing state federal Line 20. Free online tax filing state federal   Include all the refundable credits (other than withholding credits) you can claim because of events that occurred during the period. Free online tax filing state federal Note. Free online tax filing state federal When figuring your refundable credits for each period, annualize any item of income or deduction used to figure each credit. Free online tax filing state federal Line 29. Free online tax filing state federal   If line 28 is smaller than line 25 and you are not certain of the estimate of your 2014 tax, you can avoid a penalty by entering the amount from line 25 on line 29. Free online tax filing state federal Line 31. Free online tax filing state federal   For each period, include estimated tax payments made and any excess social security and railroad retirement tax. Free online tax filing state federal   Also include estimated federal income tax withholding. Free online tax filing state federal One-fourth of your estimated withholding is considered withheld on the due date of each payment period. Free online tax filing state federal To figure the amount to include on line 31 for each period, multiply your total expected withholding for 2014 by: 25% (. Free online tax filing state federal 25) for the first period, 50% (. Free online tax filing state federal 50) for the second period, 75% (. Free online tax filing state federal 75) for the third period, and 100% (1. Free online tax filing state federal 00) for the fourth period. Free online tax filing state federal   However, you may choose to include your withholding according to the actual dates on which the amounts will be withheld. Free online tax filing state federal For each period, include withholding made from the beginning of the period up to and including the payment due date. Free online tax filing state federal You can make this choice separately for the taxes withheld from your wages and all other withholding. Free online tax filing state federal For an explanation of what to include in withholding, see Total Estimated Tax Payments Needed—Line 16a , earlier. Free online tax filing state federal Nonresident aliens. Free online tax filing state federal   If you will file Form 1040NR and you do not receive wages as an employee subject to U. Free online tax filing state federal S. Free online tax filing state federal income tax withholding, the instructions for the worksheet are modified as follows. Free online tax filing state federal Skip column (a). Free online tax filing state federal On line 1, enter your income for the period that is effectively connected with a U. Free online tax filing state federal S. Free online tax filing state federal trade or business. Free online tax filing state federal On line 21, increase your entry by the amount determined by multiplying your income for the period that is not effectively connected with a U. Free online tax filing state federal S. Free online tax filing state federal trade or business by the following. Free online tax filing state federal 72% for column (b). Free online tax filing state federal 45% for column (c). Free online tax filing state federal 30% for column (d). Free online tax filing state federal However, if you can use a treaty rate lower than 30%, use the percentages determined by multiplying your treaty rate by 2. Free online tax filing state federal 4, 1. Free online tax filing state federal 5, and 1, respectively. Free online tax filing state federal On line 26, enter one-half of the amount from line 16c of the Form 1040-ES (NR) 2014 Estimated Tax Worksheet in column (b), and one-fourth in columns (c) and (d) of Worksheet 2-9. Free online tax filing state federal On lines 24 and 27, skip column (b). Free online tax filing state federal On line 31, 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). Free online tax filing state federal See Publication 519 for more information. Free online tax filing state federal Estimated Tax Payments Not Required You do not have to pay estimated tax if your withholding in each payment period is at least as much as: One-fourth of your required annual payment, or Your required annualized income installment for that period. Free online tax filing state federal 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. Free online tax filing state federal How To Pay Estimated Tax There are several ways to pay estimated tax. Free online tax filing state federal Credit an overpayment on your 2013 return to your 2014 estimated tax. Free online tax filing state federal Pay by direct transfer from your bank account, or pay by credit or debit card using a pay-by-phone system or the Internet. Free online tax filing state federal Send in your payment (check or money order) with a payment voucher from Form 1040-ES. Free online tax filing state federal Credit an Overpayment If you show an overpayment of tax after completing your Form 1040 or Form 1040A for 2013, you can apply part or all of it to your estimated tax for 2014. Free online tax filing state federal On Form 1040, or Form 1040A, enter the amount you want credited to your estimated tax rather than refunded. Free online tax filing state federal Take the amount you have credited into account when figuring your estimated tax payments. Free online tax filing state federal If you timely file your 2013 return, treat the credit as a payment made on April 15, 2014. Free online tax filing state federal If you are a beneficiary of an estate or trust, and the trustee elects to credit 2014 trust payments of estimated tax to you, you can treat the amount credited as paid by you on January 15, 2015. Free online tax filing state federal 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. Free online tax filing state federal You also cannot use that overpayment in any other way. Free online tax filing state federal Example. Free online tax filing state federal When Kathleen finished filling out her 2013 tax return, she saw that she had overpaid her taxes by $750. Free online tax filing state federal Kathleen knew she would owe additional tax in 2014. Free online tax filing state federal She credited $600 of the overpayment to her 2014 estimated tax and had the remaining $150 refunded to her. Free online tax filing state federal In September, she amended her 2013 return by filing Form 1040X, Amended U. Free online tax filing state federal S. Free online tax filing state federal Individual Income Tax Return. Free online tax filing state federal It turned out that she owed $250 more in tax than she had thought. Free online tax filing state federal This reduced her 2013 overpayment from $750 to $500. Free online tax filing state federal Because the $750 had already been applied to her 2014 estimated tax or refunded to her, the IRS billed her for the additional $250 she owed, plus penalties and interest. Free online tax filing state federal Kathleen could not use any of the $600 she had credited to her 2014 estimated tax to pay this bill. Free online tax filing state federal Pay Online Paying online is convenient and secure and helps make sure we get your payments on time. Free online tax filing state federal You can make your estimated tax payments online when you e-file or at any time during the year. Free online tax filing state federal You can pay using either of the following electronic payment methods. Free online tax filing state federal Direct transfer from your bank account. Free online tax filing state federal Credit or debit card. Free online tax filing state federal To pay your taxes online or for more information, go to www. Free online tax filing state federal irs. Free online tax filing state federal gov/e-pay. Free online tax filing state federal Pay by Phone Paying by phone is another safe and secure method of paying electronically. Free online tax filing state federal Use one of the following methods. Free online tax filing state federal Direct transfer from your bank account. Free online tax filing state federal Credit or debit card. Free online tax filing state federal To pay by direct transfer from your bank account, call EFTPS Customer Service at 1-800-555-4477 (English), 1-800-244-4829 (Espanol), or TTY/TDD 1-800-733-4829. Free online tax filing state federal To pay using a credit or debit card, you can call one of the following service providers. Free online tax filing state federal There is a convenience fee charged by these providers that varies by provider, card type, and payment amount. Free online tax filing state federal WorldPay 1-888-9-PAY-TAXTM (1-888-972-9829) www. Free online tax filing state federal payUSAtax. Free online tax filing state federal com Official Payments Corporation 1-888-UPAY-TAXTM (1-888-872-9829) www. Free online tax filing state federal officialpayments. Free online tax filing state federal com Link2GOV Corporation 1-888-PAY-1040TM (1-888-729-1040) www. Free online tax filing state federal PAY1040. Free online tax filing state federal com For the latest details on how to pay by phone, go to www. Free online tax filing state federal irs. Free online tax filing state federal gov/e-pay. Free online tax filing state federal Pay by Check or Money Order Using the Estimated Tax Payment Voucher Each payment of estimated tax by check or money order must be accompanied by a payment voucher from Form 1040-ES. Free online tax filing state federal If you use your own envelopes (and not the window envelope that comes with the 1040-ES package), make sure you mail your payment vouchers to the address shown in the Form 1040-ES instructions for the place where you live. Free online tax filing state federal Do not use the address shown in the Form 1040 or Form 1040A instructions. Free online tax filing state federal If you did not pay estimated tax last year, get a copy of Form 1040-ES from the IRS (see chapter 5). Free online tax filing state federal Follow the instructions to make sure you use the vouchers correctly. Free online tax filing state federal Joint estimated tax payments. Free online tax filing state federal    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. Free online tax filing state federal Change of address. Free online tax filing state federal    You must notify the IRS if you are making estimated tax payments and you changed your address during the year. Free online tax filing state federal Complete Form 8822, Change of Address, and mail it to the address shown in the instructions for that form. Free online tax filing state federal Worksheets for Chapter 2 Use the following worksheets and tables to figure your correct estimated tax. Free online tax filing state federal IF you need. Free online tax filing state federal . Free online tax filing state federal . Free online tax filing state federal THEN use. Free online tax filing state federal . Free online tax filing state federal . Free online tax filing state federal 2014 Tax Rate Schedules   the 2014 Estimated Tax Worksheet Worksheet 2-1 to estimate your taxable social security and railroad retirement benefits—line 1 of ES Worksheet (or Annualized ES Worksheet (Worksheet 2-9)) Worksheet 2-2 to estimate your self-employment (SE) tax and your deduction for SE tax—lines 1 and 11 of ES Worksheet (lines 1 and 17 of Annualized ES Worksheet (Worksheet 2-9)) Worksheet 2-3 to estimate your standard deduction—line 2 of ES Worksheet (line 7 of Annualized ES Worksheet (Worksheet 2-9)) Worksheet 2-4 to reduce your itemized deductions because your estimated AGI is more than $152,525—line 2 of ES Worksheet Worksheet 2-5 to reduce your exemption amount because your estimated AGI is more than $152,525—line 4 of ES Worksheet Worksheet 2-6 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 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 the 2014 Annualized Estimated Tax Worksheet (Annualized ES Worksheet) Worksheet 2-9 to reduce your itemized deductions because your estimated annualized AGI is more than $152,525—line 6 of Annualized ES Worksheet Worksheet 2-10 to reduce your exemption amount because your estimated annualized AGI is more than $152,525—line 10 of Annualized ES Worksheet Worksheet 2-11 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 2-12 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 2-13 to refigure (amend) your estimated tax during the year Worksheet 2-14 2014 Tax Rate Schedules Do not use these Tax Rate Schedules to figure your 2013 taxes. Free online tax filing state federal Use them only to figure your 2014 estimated taxes. Free online tax filing state federal Schedule X—Use if your 2014 filing status is  Single Schedule Z—Use if your 2014 filing status is Head of household If line 5 is: The tax is:     If line 5 is: The tax is:     Over— But not  over—         of the  amount  over— Over— But not  over—         of the  amount  over— $0 $9,075     10. Free online tax filing state federal 0%   $0 $0 $12,950     10. Free online tax filing state federal 0%   $0 9,075 36,900 $907. Free online tax filing state federal 50 + 15. Free online tax filing state federal 0%   9,075 12,950 49,400 $1,295. Free online tax filing state federal 00 + 15. Free online tax filing state federal 0%   12,950 36,900 89,350 5,081. Free online tax filing state federal 25 + 25. Free online tax filing state federal 0%   36,900 49,400 127,550 6,762. Free online tax filing state federal 50 + 25. Free online tax filing state federal 0%   49,400 89,350 186,350 18,193. Free online tax filing state federal 75 + 28. Free online tax filing state federal 0%   89,350 127,550 206,600 26,300. Free online tax filing state federal 00 + 28. Free online tax filing state federal 0%   127,550 186,350 405,100 45,353. Free online tax filing state federal 75 + 33. Free online tax filing state federal 0%   186,350 206,600 405,100 48,434. Free online tax filing state federal 00 + 33. Free online tax filing state federal 0%   206,600 405,100 406,750 117,541. Free online tax filing state federal 25 + 35. Free online tax filing state federal 0%   405,100 405,100 432,200 113,939. Free online tax filing state federal 00 + 35. Free online tax filing state federal 0%   405,100 406,750 - - - - - - 118,118. Free online tax filing state federal 75 + 39. Free online tax filing state federal 6%   406,750 432,200 - - - - - - 123,424. Free online tax filing state federal 00 + 39. Free online tax filing state federal 6%   432,200 Schedule Y-1—Use if your 2014 filing status is Married filing jointly or Qualifying widow(er) Schedule Y-2—Use if your 2014 filing status is  Married filing separately If line 5 is: The tax is:     If line 5 is: The tax is:     Over— But not  over—         of the  amount  over— Over— But not  over—         of the  amount  over— $0 $18,150     10. Free online tax filing state federal 0%   $0 $0 $9,075     10. Free online tax filing state federal 0%   $0 18,150 73,800 $1,815. Free online tax filing state federal 00 + 15. Free online tax filing state federal 0%   18,150 9,075 36,900 $907. Free online tax filing state federal 50 + 15. Free online tax filing state federal 0%   9,075 73,800 148,850 10,162. Free online tax filing state federal 50 + 25. Free online tax filing state federal 0%   73,800 36,900 74,425 5,081. Free online tax filing state federal 25 + 25. Free online tax filing state federal 0%   36,900 148,850 226,850 28,925. Free online tax filing state federal 00 + 28. Free online tax filing state federal 0%   148,850 74,425 113,425 14,462. Free online tax filing state federal 50 + 28. Free online tax filing state federal 0%   74,425 226,850 405,100 50,765. Free online tax filing state federal 00 + 33. Free online tax filing state federal 0%   226,850 113,425 202,550 25,382. Free online tax filing state federal 50 + 33. Free online tax filing state federal 0%   113,425 405,100 457,600 109,587. Free online tax filing state federal 50 + 35. Free online tax filing state federal 0%   405,100 202,550 228,800 54,793. Free online tax filing state federal 75 + 35. Free online tax filing state federal 0%   202,550 457,600 - - - - - - 127,962. Free online tax filing state federal 50 + 39. Free online tax filing state federal 6%   457,600 228,800 - - - - - - 63,981. Free online tax filing state federal 25 + 39. Free online tax filing state federal 6%   228,800                             Worksheet 2-1. Free online tax filing state federal 2014 Estimated Tax Worksheet When this worksheet refers you to instructions, you can find those instructions in the Instructions for 2014 Form 1040-ES. Free online tax filing state federal 1 Adjusted gross income you expect in 2014 (see instructions) 1     2 If you plan to itemize deductions, enter the estimated total of your itemized deductions. Free online tax filing state federal  Caution: If line 1 is over $152,525, your deduction may be reduced. Free online tax filing state federal See Worksheet 2-5. Free online tax filing state federal If you do not plan to itemize deductions, enter your standard deduction. Free online tax filing state federal 2     3 Subtract line 2 from line 1 3     4 Exemptions. Free online tax filing state federal Multiply $3,950 by the number of personal exemptions. Free online tax filing state federal  Caution: If line 1 is over $152,525, the amount of your personal exemptions may be limited. Free online tax filing state federal See Worksheet 2-6. Free online tax filing state federal 4     5 Subtract line 4 from line 3 5     6 Tax. Free online tax filing state federal Figure your tax on the amount on line 5 by using the 2014 Tax Rate Schedules Caution: If you will have qualified dividends or a net capital gain, or expect to exclude or deduct foreign earned income or housing, see Worksheets 2-7 and 2-8 to figure the tax 6     7 Alternative minimum tax from Form 6251 or included on Form 1040A, line 28 7     8 Add lines 6 and 7. Free online tax filing state federal Add to this amount any other taxes you expect to include in the total on Form 1040, line 44 8     9 Credits (see instructions). Free online tax filing state federal Do not include any income tax withholding on this line 9     10 Subtract line 9 from line 8. Free online tax filing state federal If zero or less, enter -0- 10     11 Self-employment tax (see instructions) 11     12 Other taxes including, if applicable, Additional Medicare Tax and/or NIIT (see instructions) 12     13a Add lines 10 through 12 13a     b Earned income credit, additional child tax credit, fuel tax credit, and refundable American opportunity credit 13b     c Total 2014 estimated tax. Free online tax filing state federal Subtract line 13b from line 13a. Free online tax filing state federal If zero or less, enter -0- ▶ 13c     14a Multiply line 13c by 90% (662/3% for farmers and fishermen) 14a           b Required annual payment based on prior year's tax (see instructions) 14b           c Required annual payment to avoid a penalty. Free online tax filing state federal Enter the smaller of line 14a or 14b ▶ 14c        Caution: Generally, if you do not prepay (through income tax withholding and estimated tax payments) at least the amount on line 14c, you may owe a penalty for not paying enough estimated tax. Free online tax filing state federal To avoid a penalty, make sure your estimate on line 13c is as accurate as possible. Free online tax filing state federal Even if you pay the required annual payment, you may still owe tax when you file your return. Free online tax filing state federal If you prefer, you can pay the amount shown on line 13c. Free online tax filing state federal                         15 Income tax withheld and estimated to be withheld during 2014 (including income tax withholding on pensions, annuities, certain deferred income, etc. Free online tax filing state federal ) 15     16a Subtract line 15 from line 14c 16a             Is the result zero or less? □ Yes. Free online tax filing state federal Stop here. Free online tax filing state federal You are not required to make estimated tax payments. Free online tax filing state federal  □ No. Free online tax filing state federal Go to line 16b. Free online tax filing state federal             b Subtract line 15 from line 13c 16b             Is the result less than $1,000? □ Yes. Free online tax filing state federal Stop here. Free online tax filing state federal You are not required to make estimated tax payments. Free online tax filing state federal  □ No. Free online tax filing state federal Go to line 17 to figure your required payment. Free online tax filing state federal                         17 If the first payment you are required to make is due April 15, 2014, enter ¼ of line 16a (minus any 2013 overpayment that you are applying to this installment) here, and on your estimated tax payment voucher(s) if you are paying by check or money order 17     Worksheet 2-2. Free online tax filing state federal 2014 Estimated Tax Worksheet—Line 1 Estimated Taxable Social Security and Railroad Retirement Benefits Note. Free online tax filing state federal If you are using this worksheet to estimate your taxable social security or railroad retirement benefits for Worksheet 2-9, 2014 Annualized Estimated Tax Worksheet, multiply the expected amount of benefits for each period by the annualization amount shown on Worksheet 2-9, line 2, for the same period before entering it on line 1 below. Free online tax filing state federal     1. Free online tax filing state federal Enter your expected social security and railroad retirement benefits 1. Free online tax filing state federal   2. Free online tax filing state federal Enter one-half of line 1 2. Free online tax filing state federal   3. Free online tax filing state federal Enter your expected total income. Free online tax filing state federal Do not include any social security and railroad retirement benefits, nontaxable interest income, nontaxable IRA distributions, or nontaxable pension distributions 3. Free online tax filing state federal   4. Free online tax filing state federal Enter your expected nontaxable interest income 4. Free online tax filing state federal   5. Free online tax filing state federal Enter (as a positive amount) the total of any expected exclusions or deductions for: U. Free online tax filing state federal S. Free online tax filing state federal savings bond interest used for higher education expenses (Form 8815) Employer-provided adoption benefits (Form 8839) Foreign earned income or housing (Form 2555 or 2555-EZ) Income by bona fide residents of American Samoa (Form 4563) or Puerto Rico 5. Free online tax filing state federal   6. Free online tax filing state federal Add lines 2, 3, 4, and 5 6. Free online tax filing state federal   7. Free online tax filing state federal Enter your expected adjustments to income. Free online tax filing state federal Do not include any student loan interest deduction 7. Free online tax filing state federal   8. Free online tax filing state federal Subtract line 7 from line 6. Free online tax filing state federal If zero or less, stop here. Free online tax filing state federal  Note. Free online tax filing state federal Do not include any social security or railroad retirement benefits in the amount on line 1 of your 2014 Estimated Tax Worksheet (Worksheet 2-1) (or Annualized Estimated Tax Worksheet (Worksheet 2-9)) 8. Free online tax filing state federal   9. Free online tax filing state federal 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. Free online tax filing state federal   10. Free online tax filing state federal Subtract line 9 from line 8. Free online tax filing state federal If zero or less, stop here. Free online tax filing state federal  Note. Free online tax filing state federal Do not include any social security or railroad retirement benefits in the amount on line 1 of your Worksheet 2-1 (or Annualized Estimated Tax Worksheet (Worksheet 2-9)) 10. Free online tax filing state federal   11. Free online tax filing state federal 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. Free online tax filing state federal   12. Free online tax filing state federal Subtract line 11 from line 10. Free online tax filing state federal If zero or less, enter -0- 12. Free online tax filing state federal   13. Free online tax filing state federal Enter the smaller of line 10 or line 11 13. Free online tax filing state federal   14. Free online tax filing state federal Enter one-half of line 13 14. Free online tax filing state federal   15