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City of Albion Estimated Individual Income Tax Voucher AL1040ES General Information WHO MUST FILE ESTIMATED TAX PAYMENTS You must make estimated income tax payments throughout the year if you expect
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Estimated tax is the method used to pay tax on income that is not subject to withholding, such as self-employment income, interest, dividends, rents, alimony, and gains from the sale of assets.
Individuals, sole proprietors, partners, and S corporation shareholders may need to make estimated tax payments if they expect to owe a certain amount of tax.
To fill out estimated tax forms, one needs to estimate their income for the year, calculate their expected tax liability, and make quarterly payments based on the estimated amounts.
The purpose of estimated tax is to ensure that taxpayers meet their tax obligations throughout the year rather than waiting until the end of the year to pay them all at once.
Taxpayers must report their income, deductions, credits, and other tax-related information on the estimated tax forms.
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