Barry Margolin wrote:
- quote -

Do _not_ toss it!! Shred it. They have your SS#s on each
of them....

Missy Doyle

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Bilz wrote:

- quote -

It is not mandatory to file a 1040-ES. Go to www.irs.gov and look up
the form to see what it's for (paying quartely tax installments). Has
nothing to do with mistakes. Who sent it to you may help us.

ed

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- quote -

People who have income that's not subject to withholding are
supposed to pay estimated tax four times a year. The income
might be from investments or self-employment, for example.
Like withholding from salaries, estimated tax prepays taxes
that will be due with form 1040 for the tax year. There are
penalties for prepaying too little. Form 1040-ES is the form
that accompanies each estimated-tax payment.

<< ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

"Bilz" <BrianGenisio[at]gmail.com> wrote:

- quote -

Did you owe money when you filed your tax return this year?
Maybe they assume that you haven't corrected your
withholdings, so you'll need to make estimated tax payments
this year to avoid owing again.

- quote -

Unless you expect to be underwithheld this year, you can
toss it.

--
Barry Margolin, barmar[at]alum.mit.edu
Arlington, MA
*** PLEASE don't copy me on replies, I'll read them in the group ***

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- quote -

I used to get them automatically when I owed more than $1000
in federal income tax. You are required to pay "enough" tax
each quarter. Form 2210 will tell you how much tax you
need to pay and what penalty, if any, you could be assessed.

A common cause of this are people who invest their savings.
Employment tax withholding doesn't know you are making
additional money this way and is too small. The stock
market has been growing the past four years and giving some
people additonal income.

<< ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

BrianGenisio[at]gmail.com (Bilz) posted:

- quote -

The 1040-ES (as I'm sure you can tell by reading) is used to
"estimate" taxes due for the upcoming year. For those who
have no income subject to withholding (e.g., self-employed),
it is a device to arrive at a reasonable "guess" at taxes
due for the upcoming year, and then make periodic payments
to avoid an IRS penalty for _underpayment_.

If you received an unsolicited form from the IRS, it's
likely because you had a large balance of tax due with your
2005 return -- even perhaps owing a penalty. It's simply a
courtesy reminder that there's a method to avoid future
penalties.

If you're employed and having tax w/h, you should take a
moment to verify the w/h will be sufficient to avoid
penalty. If not, you can submit a new W-4, claiming fewer
or no dependents.

If, on the other hand, you have considerable income _not_
normally subject to w/h (e.g., stock dividends, interest on
CDs, etc.), you may prefer to join the legions of TPs who
regularly use the 1040-ES to pay their tax obligation.

Bill

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Bilz wrote:

- quote -

You evidently owed more than $1,000 when you filed your
return and were assessed a penalty for failure to make
estimated tax payments to make up the difference in
underwithholding. If you are self-employed, you may have
failed to make EStimated tax payments. The 1040-ES vouchers
are for that purpose. You need to reduce your withholding
allowances on your W-4 or begin making quarterly estimated
tax payments.

<< ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

"Bilz" <BrianGenisio[at]gmail.com> wrote

- quote -

You probably had a balance due last year of a significant
amount (more than $1000?) and they are just letting you have
the option to make quarterly payments toward 2006. It's not
mandatory, but if you anticipate being in a balance due
situation again, you might be able to avoid underpayment
penalties by making quarterly estimated tax deposits.

--
Paul Thomas, CPA
paulthomascpapc[at]bellsouth.net

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Bilz wrote:

- quote -

The IRS sent you the forms as a favor, perhaps because you
made and estimated payment last year or should have (balance
due in April was greater than $1000). Use of the forms is
not mandatory.

<< ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

"Bilz" <BrianGenisio[at]gmail.com> wrote:

- quote -

No. For some reason IRS's computers think you'll be making
estimated tax payments for 2006 and are sending you the
vouchers so they'll get properly credited. You can read
about estimated tax requirements in Publication 505. If
you're not required to make payments no response to IRS is
necessary.

--
Phil Marti
Clarksburg, MD

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I received a 1040-ES in the mail today. I am not sure why I
am receiving this.

Is this a manditory form? Is it telling me that I made a
mistake from last year? I guess I am not sure why I am
receiving this form... I have never gotten one of these
before.

Thanks,
Brian

<< ================================================== ===== > << The foregoing was not intended or written to be used, > << nor can it used, for the purpose of avoiding penalties > << that may be imposed upon the taxpayer. > << > << The Charter and the Guidelines for submitting posts > << to this newsgroup as well as our anti-spamming policy > << are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >