The C.I.A.

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>>>>> "Richard" == Richard Masoner <richardm@cd.com> writes:

    Richard> we should pay are taxes in one lump sum on April 15,
    Richard> rather than having the money bled from us a little a time
    Richard> over the whole year.  At least I have a year to earn
    Richard> interest on the money that way.

Actually, if you have any reasonable expectation of income outside of
your regular W2 employment, or expectation of loss (such as fire,
trucks rolling over in the ice, stitches in head, CAT scans, etc.),
then you are a candidate for estimated tax payments.  You can assume
you are likely to suffer a huge unpredictable loss (your recent
history demonstrates the feasibility of this hypothesis), and
underwithold accordingly.  Then every quarter (not quite as good as
once a year) you make an estimated payment to cover the difference.

If you can argue that your fluxuations are seasonal or one-time per
year, then you may not need to make such a payment until January 15th
of the following year.  But warning: if you aren't paid up by then,
you will face a peanalty.  I remember back in the 80s, when interest
rates were so high, that my accountant actually advised investing the
money until aapril 15 and paying the penalty because the interest you
would earn exceeded the penalty!

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