Best Way to Pay Federal Tax?

First, Form 1099 is not a tax form you pay with, it is the declaration of how much you have been paid by whatever companies you are doing business with. You use this information in conjunction with all your other income and expense records to generate your yearly tax return and determine how much you owe in taxes. To pay your Federal income taxes you need to file a tax return (form 1040) which is do by April 15th of each year, just like you would do if you were an employee. There is a payment coupon that you send in along with a check for the tax due, then each quarter after that you would file quarterly estimated tax payments using form 1040-ES, which is usually 25% of the actual tax liability you had the previous year. You should really get some competent tax help from a good cpa that specializes in trucking as our tax liability is somewhat different than most other businesses. Here is a link to the IRS website explaining self employment taxes, it is a good start.
http://www.irs.gov/Individuals/Self-Employed

 

IRS.GOV
top bar go to Payments
IRS Direct Pay
Make a Payment
Select 1040ES
It will self populate Estimated Taxes/2015
Tax year for Verification - just select a year, they will use the info you put in and verify against an earlier tax year.

Fill out the information and be sure to keep a screen shot of what you paid. The IRS does not send anything out at the end of the year to let you know what you paid in estimated taxes. You will need this information for your tax forms next year.

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You can chose to pay by Credit Card, but those are 3rd party sites and fees may apply whereas if you use a checking account/debit card under IRS Direct Pay there is no fee.

 

If your CPA fell behind and files an extension, get another one. There is no excuse for this and can cause you problems in the future.

 

No, Form 1040 is what people use to file taxes, regardless of whether or not they were self employed.

• Form 1044 is what people use to file taxes, regardless if they are self employed or not.
• A 1099 is the form that the company you did work for gives you at the end of the year to let you know what amount they are claiming they paid you.
• A W2 is the form that employers give to employees to let them know how much they were paid, and what amounts were withheld for taxes, Social Security, Retirement plans, etc.

You should always make sure your income numbers match up with the 1099 that is given to you. I once had a piece of crap claim that he'd paid me nearly $3000.00 more on his 1099 then he actually did.

If you are trying to pay your quarterly estimated taxes, @Mark Kling has you covered in his post.

I just wanted to help clear up what forms you are using. The alphabet soup of forms can be confusing.

 

You'd think with us living in the 21st century the IRS would of kept up with the times by giving tax payers an easy option of completing tax returns online and also an easy online payment system. Just more government bureaucracy huh! Gitda-done

 

If you want online payments enroll at eftps.gov takes a couple weeks fro them to send you a
pin number but it cost nothing extra like the rest do.
You file online for free depending on income and if you are sole proprietor or not.
Why anyone would LLC or INC a one man operation is beyond reason you loose to many pre tax deductions. No need to pay estimated taxes either if you have the ability to pay by April 15th.
I won't make the fed govt an interest free loan

 

A single member LLC is treated exactly the same as a sole proprietor for tax purposes, so you do not loose any tax advantages. I have a LLC simply because one of my larger customers will not contract with any entity other than a LLC or corporation. And, yes, quarterlies are required if you expect to have tax due, otherwise you are subject to a penalty for failure to report and pay estimated taxes, any CPA that tells you otherwise has no clue what they are doing or is actively committing tax fraud. I learned all about this in 2004 when I had to pay the penalty after an audit.

 

Just pay 1/4 of what you were taxed last year every quarter and you won't face any penalties.