April 15 is the first-quarter estimated tax deadline for 2025
April 15 is the first-quarter estimated tax deadline for 2025, and the IRS says missing it can lead to an interest-based penalty unless taxpayers qualify under safe-harbor rules or use approved payment methods.
April 15 is the first-quarter estimated tax deadline for 2025 for taxpayers whose income is not covered by withholding.
Estimated quarterly payments apply to income such as self-employment earnings, rental income, interest, dividends and gig-economy work. The IRS said retirees and investors frequently need to make these payments. Misty Erickson, tax content manager at the National Association of Tax Professionals, said the April deadline can surprise people who are newly self-employed or who recently started contract work.
People generally must make quarterly payments if they expect to owe at least $1,000 for the current tax year, according to the article. The April 15 payment covers income earned from Jan. 1 through March 31. The other 2025 due dates are June 16, Sept. 15 and Jan. 15, 2026.
Missing an estimated payment can trigger an interest-based penalty that compounds daily, the article said. Brian Long, a certified public accountant and senior tax advisor at Wealth Enhancement in Minneapolis, said taxpayers can generally avoid IRS penalties by following safe-harbor guidelines.
Under that rule, a taxpayer must pay at least 90% of 2025 tax liability or 100% of 2024 taxes, whichever is smaller. The threshold rises to 110% if 2024 adjusted gross income was $150,000 or more. The safe-harbor rule protects against an IRS underpayment penalty, but it does not erase the underlying tax balance.
The IRS offers several ways to make estimated payments, including mail, IRS Direct Pay, the Treasury Department’s Electronic Federal Tax Payment System, debit card, credit card and digital wallet. The IRS online account can also be used to monitor pending transactions and review payment history and filing information.
Erickson said the online account can help taxpayers spot mistakes sooner, and she noted that payments have sometimes been misapplied. If mailing a payment, experts recommend certified mail with return receipt as proof.
For taxpayers who still need to make the first-quarter payment, the next due dates are June 16, Sept. 15 and Jan. 15, 2026.
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Editorial note: This article was prepared with AI assistance and includes source attribution for reader review.
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