If you are self-employed, or for some reason you don't have enough taxes withheld from your income (salary, investments, etc.) to cover the amount of taxes you'll owe to the State of Arizona for the year, you need to pay estimated taxes. If you don't, and you wait until you file your tax return next year to pay your taxes, you could be subject to penalties imposed by the State of Arizona. Don't forget that you might also have to pay estimated taxes to the IRS for your federal tax liability.
How Much Should My Arizona Estimated Payments Total?
If you have to make estimated payments, your payments, when added to your Arizona withholding, must total either 90% of the tax due for 2009, or 100% of the tax due for 2008.You can use your 2008 tax to figure the amount of payments that you must make during 2009 only if you were required to file and did file a 2008 Arizona income tax return.
When Should I Make My Arizona Estimated Payments?
The State of Arizona says to make your payments in four equal installments. The due dates for these installments for a calendar year taxpayer are as follows:
Installment Due Date
First: April 15, 2009
Second: June 15, 2009
Third: September 15, 2009
Fourth: January 15, 2010

