Re: Seriously, my last tax post (Re: Estimated tax payments)
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Last year I did not keep detailed session records and ended up requesting a statement from each poker site with deposits/withdrawals and used that along with my Neteller transaction history to determine my net win for the year. I gave all of this information to an accountant. I am certainly going to owe more than $1000. Am I to assume that I'm going to have to pay a penalty (I guess I'll find out tomorrow when he calls me)? If so, how much will it be (what percentage)? This sucks.
-- Homer
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I believe the penalty for not making estimated payments is 5% max.
The penalty is incurred when your estimated tax payments and W-2 withholdings do not total at least your previous year's tax liability.
(I'm no expert and probably wrong)
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