With most Heard subscription plans, you can expect to receive a quarterly estimate each quarter by completing the quarterly checklist. If you joined Heard or upgraded to a subscription plan that includes quarterly tax estimates after the personalized quarterly estimate sign-up deadline, you can complete the safe harbor estimate questions instead. We will provide you with a safe harbor estimate to be paid to the IRS by the quarter deadline.
What is the safe harbor method for quarterly taxes?
The Safe Harbor method is a simple way to calculate your federal tax estimate. The estimate is calculated by dividing your prior year's tax liability (the amount you owed last year's taxes) by four.
How to receive a Safe Harbor federal quarterly tax estimate
To receive an estimate, you will need:
- Your 1040 Individual Tax Return from the previous year.
- If applicable, any estimated tax payment vouchers.
To get started, go to Taxes>Quarterly and proceed through the checklist to enter your information.
If you don't have a personal federal tax return from last year, you can manually calculate your estimated taxes.
What about state taxes?
At this time, Heard's Safe Harbor method will only generate a federal estimate. Most states also use the Safe Harbor Method to calculate estimated taxes. This quarter, you should check with your state's website for guidance on your specific situation. In future quarters, Heard will provide calculations for state taxes.
When are quarterly taxes due?
The year is divided into four payment periods for estimated tax purposes, each with a specific payment due date.
- Quarter 1 - April 15th
- Quarter 2 - June 15th
- Quarter 3 - September 15th
- Quarter 4 - January 15th
If the payment due date falls on a weekend or holiday, the deadline moves to the next business day.