Saturday, March 22, 2014

Know your tax penalties

Matt Drudge's tweet from Friday sent a White House aide and liberal commentators into attack mode.
Too bad they didn't know what they are talking about.
If you are an individual business person, you pay estimated taxes instead of having taxes withheld.
It's based on prior year income, but you've got to plan to pay at least 90 percent of what's owed or there can be a penalty.
As an experienced taxpayer, Drudge noted his estimated payment for the first quarter of 2014 included his projected extra tax due to Obamacare.
Doubt he would get a waiver next winter if he underpaid his estimated taxes.
Too bad the White House aide and commentators don't understand paying estimated taxes.
It might help them understand the problems conservatives have with the law.

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