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John Bow is self-employed and his only source of income for 2020 is from his business....

John Bow is self-employed and his only source of income for 2020 is from his business. His business is expanding rapidly and he expects his taxable income to be substantially higher for 2020 than previous years. He plans to file his 2020 tax return on June 15, 2021. The balance-due date by which any federal income tax payable must be paid without incurring interest costs is:

a.

December 31, 2021
b.

December 31, 2020
c.

None of the choices shown.
d.

September 15, 2021
e.

March 15, 2021
f.

June 15, 2021
Business   Accounting   
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Answer #1

Answer: C : as John did not pay tax for first quarter ( as mentioned in question as he planned to file it on June 15th) he has to pay it on 15 th april 2021 to avoid any interest and penalties.

Self employed persons has to file their tax returns quarterly before due respective due dates to avoid interests and penalties, the mdue dates are 15th april, 15th June, 15th september, 15th January

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