The Internal Revenue Service (IRS) has issued a reminder for taxpayers who are required to make quarterly payments, announcing that their second deadline of the year is approaching on Monday, June 16.
This deadline applies to individuals who owe taxes on income not subject to withholding, such as self-employment earnings, rental income, gig work, and other sources. Taxpayers who earn money through these channels must ensure they meet this deadline to avoid any potential penalties.
According to Newsweek, the IRS has also emphasized that failure to comply with these deadlines can result in fines or interest charges on unpaid taxes.
Why this deadline matters
Most employees pay their taxes annually by the April 15 deadline, but individuals earning income without federal withholdings may need to make estimated tax payments four times a year. Filing and paying taxes on time is essential to avoid penalties.
Federal taxpayers who earn income through self-employment, gig work, investment income, or other sources not subject to withholding may need to make estimated quarterly tax payments.
The IRS requires individuals who expect to owe at least $1,000 in taxes for the year, and corporations expecting to owe $500 or more, to make these payments.
Additionally, individual taxpayers earning money through gig work, freelance services, or the sale of goods must also pay estimated taxes, even if they receive a Form 1099-K.
This form reports payments received for goods or services through payment cards (like credit, debit, or gift cards) and third-party platforms, such as payment apps or online marketplaces.
Calculating your quarterly estimated payments
To determine how much you owe, taxpayers need to estimate their adjusted gross income, taxable income, deductions, credits, and total taxes for the year.
Form 1040-ES includes a worksheet to guide taxpayers through this calculation. If income changes throughout the year, adjustments to the payments can be made accordingly.
The June 16 deadline applies to income earned between April 1 and May 31.
How to pay your quarterly taxes
The IRS recommends electronic payments as the fastest, safest, and most convenient way to pay. Taxpayers have several options, including:
- IRS Online Account or Direct Pay – Pay directly from a checking or savings account, or use a credit/debit card or digital wallet. Payment processors may charge a fee for card payments.
- Electronic Federal Tax Payment System (EFTPS) – A secure federal payment system for individuals and businesses.
- Check or Money Order – Made payable to “United States Treasury” and submitted with Form 1040-ES.
- IRS2Go App – The official mobile app of the IRS for secure payments and resources.
In addition to the June 16 deadline, there are two more payment deadlines for 2025 taxes. The next deadline will be September 15, 2025, for taxes on income earned between June 1 and August 31, and the final one will be on January 15, 2026, for income earned from September 1 to December 31.
It is crucial to stay on top of these deadlines to avoid unnecessary penalties and interest charges.
