Iowa Residents
Iowa residents who expect to owe tax of $200 or more for 2018 from income not subject to withholding tax must make estimated tax payments to avoid a penalty for underpayment of estimated tax.
Farming or Commercial Fishing
If at least 2/3 of your income is from farming or commercial fishing, you may avoid penalty for underpayment of estimated tax in one of the following ways: (1) You may pay the estimated tax in one payment on or before January 15, 2019, and file your return by April 30, 2019, or (2) you may file your return and pay the tax in full by April 30, 2019, extended from March 1, 2019.*
*On February 28, 2019, the IRS issued notice 2019-17 which provides an extension through April 15, for farmers and fishermen to make estimated payments before being subject to estimated tax penalties. The Director of Revenue found that this extension and waiver by the IRS was an unusual circumstance warranting a similar extension and waiver for Iowa income tax purposes.
Nonresidents
Nonresidents with nonwage income from Iowa, see IA 1040ES instructions.
Married Taxpayers
Each individual required to make estimated payments must file an estimated payment under his/her name and Social Security Number.
How to Pay
You can set up your payments to be automatically deducted from your bank or credit union account using ePay (free direct debit) by credit/debit card, in person or by mail. Simply select Individual Income Estimate Tax and the payment option that works best for you using EasyPay Iowa.