Paying quarterly taxes as a new business

[rpaul9578]

What is the name of your state (only U.S. law)? California

I read that as a small business owner I am supposed to estimate my taxes and pay them quarterly; the next payment is due June 15. We are supposed to estimate income for the year and pay 1/4. However, I did not have income from January to end of May. Therefore, my income can only be estimated for 8 months (May to Dec). I would like to pay 1/8 of my tax estimate for the month of May, then 3/8 for the next quarter, 4/8 for the last quarter (the quarters aren't evenly distributed) because to do 1/4 for June would mean that I would be prepaying on next quarter's income rather than paying on the last quarter. Is that OK to do it as 1/8 for May?

 

[FlyingRon]

The "business" unless it is a corporation doesn't pay taxes. YOU need to pay estimated tax on any income (over a trivial amount) that you do not have an employer withholding tax for you. If you didn't have income previously and you didn't have any in the early quarters, you're not obliged to pay FEDERALLY. I'm not sure if California follows the federal rules or if they have a more strict interpretation of the need to estimate your total annual income (Virginia for example, gives no safe quarter for not making level payments year round).

 

[rpaul9578]

I'm not sure if California follows the federal rules or if they have a more strict interpretation of the need to estimate your total annual income (Virginia for example, gives no safe quarter for not making level payments year round).

OK maybe someone knows what the situation is for California? I'm pretty confused what I must do. I figured out my tax estimates using a program online (tryzen99.com) but I'm not sure what to do next. I'm not a corporation, just a dba.

Thanks,
Rebekah

 

[rpaul9578]

One more thing to clarify, I did have income in May just not till close to the end of the month.

Thanks,
Rebekah