At the end of June 2021, Representatives Debbie Lesko, R-Arizona, and Bradley Schneider, D-Illinois, introduced the Tax Deadline Simplification Act aimed at changing estimated tax payment deadlines to a uniform, quarterly schedule.
The new bipartisan legislation would simplify the quarterly installments for income tax payments by changing the due dates to 15 days after the end of each quarter. The current laws set the estimated tax payment deadlines at uneven intervals that do not coincide with calendar year quarters leading to confusion and unnecessary challenges for taxpayers to compute and submit timely payments. The new deadlines would be January 15, April 15, July 15, and October 15.
Estimated tax payments are made each quarter to the Internal Revenue Service by those whose income isn’t subject to tax withholding. This new legislation would affect the growing number of small businesses, individuals, estates, and trusts.
Wendroff & Associates will continue to monitor and report on this legislation. Keep up-to-date with Upcoming Tax Deadlines and/or click the button below to schedule a consultation on how estimated quarterly payments may impact your business.