Video instructions and help with filling out and completing Fill Form 2220 Filers

Instructions and Help about Fill Form 2220 Filers

Hi my name is Shawn right I'm a pittsburgh-based IRS tax attorney I help small businesses and professionals to overcome their issues with IRS back taxes the big problem that a lot of people have is making estimated tax payments they're supposed to be done quarterly but it they don't have to be quarterly okay they're difficult to pay quarterly it's just difficult think we're the estimated taxes why because we don't get paid quarterly I know of no one who gets paid quarterly there are other ways that you can make your estimated tax payments however you can sit down with the tax professional and determine approximately what tax rate you should be paying some people maybe have a bunch of kids they might have a lower tax rate than somebody who is single and no kids but ending the event whatever your tax rate is if it's fifteen percent or twenty-two percent whatever it is then every time you get paid you can set aside eighteen percent and write a check to the IRS as an estimated tax payment every time you get paid you could also do this once a month for instance you sit down instead of waiting every three months do it once a month I'm not suggesting that this is painless obviously it's always painful to pay the IRS nobody likes to pay the IRS but the alternative is bad because you're going to incur a lot of interest in a lot of penalties and ultimately you can you know go through a lot of trouble to try to maybe settle your tax debts or get into a payment plan with the IRS and after you've done that if you fall behind again on your estimated tax payments after you have settled or after you have entered into an installment agreement they'd can then revoke those deals the IRS can revoke your deals because you're not playing by the rules there they will default your payment plan and they will default your offer and compromise so it's going to be all for naught so you have to learn how to stay in compliance staying in compliance is number one making sure all your returns are filed on time and number two making sure and this is the harder part making sure your estimated taxes are paid on time there is another way in which you can set up a small business like a LLC or a small corporation and then put yourself on payroll that's more complicated i can certainly talk to you about it and we'll probably treat that in another video but estimated taxes are very important to get a hold of and it's difficult with small businesses because cash flow is always up and down it happens with every business cash flow is always an issue some months may be great other months are really lean so get a handle on it if you have any questions give me a call for 129 20 65 65 love to hear from you thank you