Tax Tips: The second quarter estimated tax payment deadline is June 16
IR-2025-65, June 6, 2025
WASHINGTON — The Internal Revenue Service today reminded taxpayers that second quarter 2025 estimated tax payment is due Monday, June 16.
Taxpayers that receive income not subject to withholding, such as income from self-employment, gig work, interest, dividends, capital gains, rent or 1099 earnings, may need to make estimated tax payments throughout the year. This includes freelancers, retirees, investors, businesses and corporations.
Why it matters?
Paying on time helps taxpayers avoid falling behind on their taxes and possible underpayment penalties.
Who needs to pay estimated tax?
• Taxpayers including sole proprietors, partners and S corporation shareholders who expect to have a tax liability of at least $1,000 for the year.
• Corporations that expect to owe tax of $500 or more. See Publication 542, Corporations.
• Individuals earning income from gig work, freelance work or from sales of goods and services, even if they receive a Form 1099-K. Recipients of Form 1099-K, Payment Card and Third Party Network Transactions must use it with other tax records to report income.
How to pay
Electronic payment is the most secure, fastest and easiest way to pay. Taxpayers can use:
• The IRS Online Account, Direct Pay with a checking or savings account, credit/debit card or digital wallet. Payment processors may charge a fee if paying with a credit/debit card.
• The Electronic Federal Tax Payment System (EFTPS).
• A check or money order made payable to the “United States Treasury” along with Form 1040-ES.
• The IRS2Go app.
Corporations must use electronic funds transfer, usually EFTPS, to make all federal tax deposits including installment payments of estimated tax.
For more information on payments visit Make a Payment.
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Tax Tips: Mediation can help taxpayers resolve tax issues
Mediation – also known as alternative dispute resolution – can help taxpayers resolve tax issues early and efficiently.
The process provides taxpayers a faster, more collaborative and cost-effective approach to case resolution. The traditional appeal process is still available for taxpayers who choose it.
Mediation might be right for a taxpayer if:
• The taxpayer wants to resolve the dispute at the earliest possible stage of their audit.
• The taxpayer doesn’t have many disputed issues.
• The taxpayer gave the IRS information to support their position.
• The IRS is still considering the taxpayer’s case and issues remain unresolved.
Mediation is:
• Voluntary for both parties.
• Nonbinding, meaning each party retains 100% control over whether to settle the case. No one can force either party to do something they don’t agree to do.
• Effective when both parties have a desire to resolve the disputed issue.
• A chance to avoid a lengthy appeal process or costly litigation.
Mediation is not:
• Required by either party.
• A replacement for the audit or collection process.
• A process in which the parties in the dispute offer arguments directly to the mediator hoping to “win.”
• Effective if either party believes the only way the dispute will get resolved is if the other party concedes or gives up on its position.
• A time to present new information or raise new issues.
• An opportunity to try and get a more favorable outcome or delay the examination or collection process.
Primary alternative dispute resolution programs:
• Fast Track Settlement – when the parties can choose to seek mediation for unresolved issues in the examination process.
• Post Appeals Mediation – when the parties can seek mediation for unresolved issues remaining at the conclusion of a traditional Appeals proceeding.
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