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Can you pay a lump sum on your estimated taxes instead of over 4 quarters?
Wiki User
∙ 14y ago
If you are looking to pay once, why not pay what you owe when you file? The benefit of pay quarterly is to manage cash flow so you don't owe a large sum at once.
Wiki User
∙ 14y ago
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How would someone get lump sum in taxes?
"When you delay in paying your taxes all together before the due date, you may end up having to be loaded with a lump sum in taxes that must be paid by a certain deadline."
Are taxes charged when you receive a lump sum of cash?
Depending on the reason for you to be receiving a lump sum of cash taxes are most likely going to be required. However, the taxes owed may not be deducted from the amount you receive and you may have to pay the taxes later at filing time depending on the situation it may be beneficial to request whom ever is providing the cash payment to deduct taxes if possible.
Withholding tax on lump sum distributions?
For a non qualified pension plan it is required a 20% (for federal taxes) withholding for taxes and X% for State, depending on the State you live.
I inherited an IRA from my mother who passed away last year. Do I have to pay taxes on the IRA Does it go directly on my Income Thanks.?
Yes, you will have to pay taxes. You can take the money lump sum and pay the taxes this year, or you can roll it over into an inherited IRA and pay the taxes as the money is distributed. You will be taxed at your normal marginal tax rate.
Merits and demerits of direct taxes?
Disadvantages of Direct TaxInconvenient:Direct taxes are inconvenient because there are very complicated procedure for filling of returns and the taxes to be paid by the taxpayer in lump sum.Disliking:The taxpayers do not like direct taxes. They feel that their hard earned money is going to government.Lump Sum:Direct taxes are to be paid in lump sum in every year. So it is very difficult for taxpayer to pay a large so of money in one installment.Evasion:Direct tax can easily be evaded. The taxpayers often submit false statements of his income and thus tries to evade tax and the revenue of state may be reduced.Reduction in Savings:Due to direct taxes, rate of savings is reduced because a large part of income goes to the government.Arbitrary:The direct taxes are arbitrary as the state of taxes is changed arbitrary by the government. The rate of tax is changed from time to time.Protest:The tax payer may protest against any rise in the tax.Category: Tax
How would someone get lump sum in taxes?
"When you delay in paying your taxes all together before the due date, you may end up having to be loaded with a lump sum in taxes that must be paid by a certain deadline."
How can I get money for settlements faster, in a lump sum instead of payments?
You can get money for settlements faster, in a lump sum instead of payments at www.settlementpaymentsource.com. Another site is www.woodbridgeinvestments.com
What is the difference between a lump sum and annuity?
The difference between a lump sum and annuity is, lump some you get a anywhere between half or 3 quarters of the money. An annuity is where you will get a certain amount of money for a certain amount of years.
Are taxes charged when you receive a lump sum of cash?
Depending on the reason for you to be receiving a lump sum of cash taxes are most likely going to be required. However, the taxes owed may not be deducted from the amount you receive and you may have to pay the taxes later at filing time depending on the situation it may be beneficial to request whom ever is providing the cash payment to deduct taxes if possible.
What is a lump circuit?
A lump circuit is a circuit that concentrates energy in specific frequencies. This is done instead of distributing it over a length of time.
What is a disadvantage of lump sum contract?
It's hard to say without more information but, in general, you may lose a lot more to taxes if you take a lump sum.
If you win a lottery, is it better to take a lump sum of cash or take your money in installment monthly payments?
If you take it in a lump sum of cash, you will lose money because they take more taxes out of it.
Withholding tax on lump sum distributions?
For a non qualified pension plan it is required a 20% (for federal taxes) withholding for taxes and X% for State, depending on the State you live.
I owe back taxes on a homestead in Inkster, MI. Are there any programs to help get these taxes paid or abated?
Not really but you can talk to the advocate and see if they will settle for a lump sum payment if you have the cash.
What does the term 'Lump Sum' mean?
Lump Sum means all in one shot or To be given a full amount at one time, instead of several smaller payments over a period of time. Most people prefer to receive a lump sum.
Are there any tax advantages to having a cash settlement instead of installments?
When you take a monetary payout in installments, especially in an annuity (yearly installments) you must pay taxes on each installment. While this wouldn't be a problem for a monthly payout, taking a lump sum payout on an annuity means you only have to pay taxes once on it. Typically a cash settlement will be less than the total of the installments. The advantage is that you have the money all at once. Of course you'll have to pay taxes on it if the settlement isn't exempt from taxes.
What are the taxes on a lump sum pension distribution?
A lump sum distribution taken after the age of 59 and 1/2 is considered regular income and taxed accordingly. If taken before then, a 10 percent early withdrawal penalty is applied.
