Quarterly Tax Payments for Self-Employed Individuals and Business Owners

If you are self-employed or a business owner and your business generates profit, you must make quarterly tax payments. No reports need to be filed—simply calculate your net profit and make an estimated tax payment through your IRS online account, selecting the current year and the payment type as "Estimated tax."

There are four quarterly payments throughout the year:
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- By April 15
- By June 15
- By September 15
- By January 15

By the time you file your tax return, 90% of your tax liability must be paid. Otherwise, you may face a penalty of 8% of the unpaid tax amount.

Annual Tax Return Filing Deadlines
Tax returns must be filed once a year:

- By March 15 – For S Corporations (Form 1120-S) and Partnerships (Form 1065)
- By April 15 – For Individuals (Form 1040) and C Corporations (Form 1120)

If your child is a U.S. citizen or has a Green Card, then no work permit is required.

However, if your child's Social Security card states "Not valid for work without DHS authorization," then a work permit is mandatory! Without it, you will not be eligible for tax credits when filing your tax return.

1. Register Your Business in a State – Choose a state and register your LLC, S Corp, or C Corp.
2. Obtain an EIN from the IRS – Get an Employer Identification Number (EIN) for tax purposes.
3. File a BOI Report with FinCEN – Submit the Beneficial Ownership Information (BOI) report to comply with federal regulations.
4. Open a Business Bank Account – Set up a business account to manage finances and transactions.

The BOI Report (Beneficial Ownership Information Report) is a filing requirement with FinCEN that provides details about a company and its beneficial owners.

Starting January 1, 2024, a new law requires businesses to register with FinCEN and disclose information about all owners with a 25% or greater ownership stake.

Filing Deadlines:

- Companies formed in 2024 must file the BOI Report within 90 days of state registration.
- Companies created before 2024 must file by December 31, 2024.

Submit your BOI Report here: https://boiefiling.fincen.gov/fileboir

You need to pass two tests:

✅ Ownership Test – You must have owned the home for at least 2 years within the last 5 years.
✅ Residence Test – You must have lived in the home as your primary residence for at least 2 years within the last 5 years.

📌 Tax Exemption:
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If you meet both tests, you may qualify for a tax exclusion of $250,000 (or $500,000 for married couples) on capital gains.

📌 If You Don’t Qualify:
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If you don’t meet these tests, the property is considered an investment property, and you may be subject to capital gains tax of up to 20% on the profit from the sale.

💡 Important: If you are a U.S. tax resident, it doesn’t matter where you sell the property—even if it’s in another country, the profit may still be taxable.

🎁 Gift Taxes Are Paid by the Giver

- If you receive a gift over $18,000 from a U.S. resident, the giver must file Form 709 (Gift Tax Return).
- U.S. citizens can gift up to $13,620,000 over their lifetime tax-free.

🌎 Gifts from Non-Residents

- If you receive a gift over $100,000 from a non-U.S. resident, you must file Form 3520 (Informational Report).

⚠️ Penalties for Non-Filing

- A 5% penalty per month (up to 25%) applies if you fail to report.

- Filing Deadline: April 15.4o

💰 No Tax on Personal Savings Transfers
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If you are simply transferring your own savings from a foreign account to the U.S., no tax is required.

📊 Taxes on Foreign Income
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If the money transferred comes from income earned abroad (salary, dividends, rental income, etc.), you must report it and pay taxes on it.

⚠️ Foreign Account Reporting
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If your foreign accounts exceed $10,000 at any time during the year, you may also need to file FBAR (FinCEN 114) and Form 8938 to report them.