Do you have any tips for finding a good CPA? I've never used one before and have no idea how to tell if someone is good or not.

Ask friends or family for recommendations first - personal referrals are usually the best way to find a reliable CPA. If that doesn't work, look for someone who specializes in individual taxes with real estate experience. Always check their credentials (make sure they're actually a CPA and not just a tax preparer) and ask about their experience with situations like yours. A good CPA will take time to explain things and not just rush you through the process. Many offer free initial consultations, which is a great way to see if they're a good fit before committing.

TurboTax charges for extensions though, right? I thought there were free options available.

You're right, TurboTax does charge if you want to e-file the extension through them. I forgot about that! The IRS Free File Fillable Forms mentioned by others is definitely the free way to go if you don't want to pay anything. I just found TurboTax easier since I was already using it for my returns.

That's an interesting perspective, but how would a youth advisory council actually work? Would they have any real power or just be symbolic? And who would choose which teens get to serve on it?

Those are good questions. I think for it to be meaningful, the council would need some actual authority - perhaps control over a small portion of the budget earmarked for youth programs, or veto power over certain spending decisions that directly impact young people. As for selection, I would suggest a combination of approaches - some members elected by high school students, others appointed based on applications and interviews to ensure diverse representation across socioeconomic backgrounds, geographic regions, etc. Maybe even have a rotating membership with 1-2 year terms so more young people get the opportunity to participate.

That's a really privileged perspective. Not all parents vote in their children's best interests - many vote against policies that would help their own kids based on political ideology. And regarding felons, many states now recognize that permanent disenfranchisement after serving a sentence is counterproductive to rehabilitation and reintegration. That's why so many states have restored voting rights after sentence completion.

This makes sense but I've heard some freelancers can reduce their tax burden significantly with the right business entity. Is sole proprietorship really the most tax efficient at $42k? Wouldn't an S-corp save on self-employment taxes?

At $42k in profit, an S-corp typically won't save you money because of the additional costs involved. With an S-corp, you must pay yourself a reasonable salary (subject to both employer and employee portions of FICA taxes), file separate corporate tax returns, and potentially pay for payroll services. The tax advantage of an S-corp comes from distributing some profits as dividends that aren't subject to self-employment tax. But when your profit is around $42k, a reasonable salary would likely be most or all of that amount anyway, leaving little to nothing for the tax-advantaged distributions. Plus, you'd have several hundred dollars in additional annual costs for corporate filing fees, separate tax returns, and possibly accounting services. The math usually doesn't work out favorably until you're earning significantly more.

Is there a specific form for making these quarterly payments? And what are the deadlines? I just started freelancing and haven't made any quarterly payments yet this year...

Is there any advantage to doing the electronic withdrawal instead of credit card? The fees for credit cards seem high but I'm wondering if there's another reason people choose direct withdrawal?

The main advantage of electronic fund withdrawal is that there are no processing fees, unlike credit card payments which charge around 2%. If you're paying a large tax bill, that 2% can add up fast. Another benefit is that with electronic withdrawal, you can schedule the payment for a future date (up to the filing deadline), while still filing your return early. This gives you more control over exactly when the money leaves your account. Credit card payments process immediately when you make them.

There are limits but they're pretty high. I think it's like 2 payments per processor, but each can be up to $99,999. So you should be fine with $12k. Just check your card's credit limit first, obviously.

Thanks for the info! That's good to know - my credit limit is $20k so I should be fine. Gonna get so many travel points from this payment!

Thanks for the straightforward approach. In your experience, is it better to slightly overpay and get a refund, or try to nail the exact amount? And do you make adjustments during the year if your income fluctuates significantly?

I personally prefer to slightly overpay. The peace of mind is worth more to me than the interest I'd earn on that money elsewhere. I do adjust my payments throughout the year based on actual performance. Since I can see my real numbers in my accounting software, I'll recalculate before each quarterly payment. If Q1 was unusually profitable, I'll increase my Q2 payment accordingly. If business slows down, I might reduce a later payment. The key is documented methodology - as long as you can show you made a good faith effort to estimate correctly, the IRS tends to be reasonable.

Direct File doesn't support business returns yet, definitely not S-Corp returns (Form 1120-S). It's still limited to pretty basic individual returns. For S-Corps you'll still need to use tax software or an accountant.