# Oh man. Please guys help me out. Have not filed yet



## Qowpel (Mar 31, 2016)

Hey gu6s. So I have been dr8ving for Uber for roughly 6 l.5 months now. Here is the thing. I have not filed taxes yet. 

I just read that we are supposed to do/pay quarterly taxes.... Am I screwed? Am I going to be fined? What exactly do I do in this situation guys. Please help . I would really appreciate it. I do not want to get into financial trouble or trouble with the law at all.


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## tohunt4me (Nov 23, 2015)

Qowpel said:


> Hey gu6s. So I have been dr8ving for Uber for roughly 6 l.5 months now. Here is the thing. I have not filed taxes yet.
> 
> I just read that we are supposed to do/pay quarterly taxes.... Am I screwed? Am I going to be fined? What exactly do I do in this situation guys. Please help . I would really appreciate it. I do not want to get into financial trouble or trouble with the law at all.


I'm sure you have nothing to worry about . .. .


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## tohunt4me (Nov 23, 2015)

You never run out of hot water in prison. Enjoy the showers.


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## Older Chauffeur (Oct 16, 2014)

Qowpel said:


> Hey gu6s. So I have been dr8ving for Uber for roughly 6 l.5 months now. Here is the thing. I have not filed taxes yet.
> 
> I just read that we are supposed to do/pay quarterly taxes.... Am I screwed? Am I going to be fined? What exactly do I do in this situation guys. Please help . I would really appreciate it. I do not want to get into financial trouble or trouble with the law at all.


I am not a tax professional. There are members here who are tax pros, and I'm sure they will weigh in over the next few days.

I hope you mean that you have filed tax returns annually, as required by law, and that you just haven't filed quarterly estimated taxes and paid in those amounts on your rideshare income alone.

From what I have read, you only need to pay estimated taxes quarterly if you don't meet certain requirements with regard to the net taxes owed when you file your return next year. So if you have a regular job where taxes are withheld, and 90% of the amount you owe is already there, you might be okay. Or, if an amount equal to 100% of what you paid in taxes the previous year has already been withheld, I believe you are off the hook on quarterly filing. The purpose of quarterly filing/paying is so that the IRS has the bulk of any taxes you owe already in their hands, interest-free. There may be interest charged on amounts owing if quarterly payments should have been made.
Another possibility is if you have investment accounts and have the withholding done on withdrawals of taxable funds. This is what I have been doing for several years, and have not had a problem.

If you are keeping a business mileage log, and tracking other deductible business related expenses, your taxable income from rideshare activities should be low enough that it won't make a major change in taxes owed.

Now, if you haven't filed returns at all, then you are likely in trouble with the IRS and your state/local tax agencies if any.

If that is the case, the longer you put it off, the worse it will be. So get together with a tax professional, such as an Enrolled Agent, or at least a CPA, and get started. There are penalties and interest that may apply for failure to file a tax return.


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## SEAL Team 5 (Dec 19, 2015)

Qowpel said:


> Hey gu6s. So I have been dr8ving for Uber for roughly 6 l.5 months now. Here is the thing. I have not filed taxes yet.
> 
> I just read that we are supposed to do/pay quarterly taxes.... Am I screwed? Am I going to be fined? What exactly do I do in this situation guys. Please help . I would really appreciate it. I do not want to get into financial trouble or trouble with the law at all.


Taxes are due April 15th the following year. Quarterly estimated taxes are only for your behalf so you don't have a lump sum to pay. Does the IRS give quarterly refunds? With the minuscule amount owed, if any being a TNC driver you should have no problem paying by next April. You can easily file for an extension. Now an extension won't exonerate you from tax liabilities or interest accrued in that time frame, but it can eliminate some frustration since you are new to the 1040 SE.


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## Older Chauffeur (Oct 16, 2014)

SEAL Team 5 said:


> Quarterly estimated taxes are only for your behalf so you don't have a lump sum to pay.


Sorry, but this statement is not accurate. The IRS requires quarterly payments from self employed taxpayers if they expect to owe $1000 or more and have no withholding to offset it. Please read below- emphasis mine.

From IRS.gov:
*Estimated Taxes*
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*Taxes must be paid as you earn or receive income during the year, either through withholding or estimated tax payments.* If the amount of income tax withheld from your salary or pension is not enough, or if you receive income such as interest, dividends, alimony,* self-employment income*, capital gains, prizes and awards, you may have to make estimated tax payments. *If you are in business for yourself, you generally need to make estimated tax payments. Estimated tax is used to pay not only income tax, but other taxes such as self-employment tax and alternative minimum tax.*

I*f you don't pay enough tax through withholding and estimated tax payments, you may be charged a penalty. You also may be charged a penalty if your estimated tax payments are late, even if you are due a refund when you file your tax return.*

Estimated tax requirements are different for farmers and fishermen. Publication 505, Tax Withholding and Estimated Tax, provides more information about these special estimated tax rules.

*Who Must Pay Estimated Tax

Individuals, including sole proprietors, partners, and S corporation shareholders, generally have to make estimated tax payments if they expect to owe tax of $1,000 or more when their return is filed.
*

Corporations generally have to make estimated tax payments if they expect to owe tax of $500 or more when their return is filed.

You may have to pay estimated tax for the current year if your tax was more than zero in the prior year. See the worksheet in Form 1040-ES, Estimated Tax for Individuals (PDF), or Form 1120-W, Estimated Tax for Corporations (PDF), for more details on who must pay estimated tax.


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## SEAL Team 5 (Dec 19, 2015)

Older Chauffeur said:


> Sorry, but this statement is not accurate. The IRS requires quarterly payments from self employed taxpayers if they expect to owe $1000 or more and have no withholding to offset it. Please read below- emphasis mine.
> 
> From IRS.gov:
> *Estimated Taxes*
> ...


Thank you for the info. I just thought who the hell will owe any taxes driving at these rates.


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## Older Chauffeur (Oct 16, 2014)

SEAL Team 5 said:


> Thank you for the info. I just thought who the hell will owe any taxes driving at these rates.


Agreed. Anyone with half a brain should be tracking mileage and other expenses in order to get the profit on Schedule C
down to the point where little in the way of taxes is due. 
But some folks in rideshare driving may just be in over their heads.


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