Introduction cheap hotels in AveiroThe federal income tax is a pay-as-you-go tax. You must pay the taxas you earn or receive income during the year. There are two ways topay as you go. Withholding. If you are an employee, youremployer probably withholds income tax from your pay. Tax may also bewithheld from certain other income -- including pensions,bonuses, commissions, and gambling winnings. In each case, the amountwithheld is paid to the Internal Revenue Service (IRS) in yourname. Estimated tax. If you do not pay your tax throughwithholding, or do not pay enough tax that way, you might have to payestimated tax. People who are in business for themselves generallywill have to pay their tax this way. You may have to pay estimated taxif you receive income such as dividends, interest, capital gains,rents, and royalties. Estimated tax is used to pay not only incometax, but self-employment tax and alternative minimum tax aswell. Guvercinlik sheraton hotelThis publication explains both of these methods. It alsoexplains how to take credit on your return for the tax that waswithheld and for your estimated tax payments. If you did not pay enough tax during the year either throughwithholding or by making estimated tax payments, you may have to pay apenalty. The IRS usually can figure this penalty for you. Thisunderpayment penalty, and the exceptions to it, are discussed inchapter 4. Comments and suggestions.We welcome your comments about this publication and yoursuggestions for future editions. You can e-mail us while visiting our web site atwww.irs.gov/help/email2.html. You can write to us at the following address: Internal Revenue Service Technical Publications Branch W:CAR:MP:FP:P 1111 Constitution Ave. NW Washington, DC 20224 We respond to many letters by telephone. Therefore, it would behelpful if you would include your daytime phone number, including thearea code, in your correspondence.