CALCULATION OF QUARTERLY INSTALMENT

Tags: QUARTERLY INSTALMENT, COMPANIES, SELF-EMPLOYED PERSONS, PAYMENTS, QUARTERLY INSTALMENT, CHARGEABLE PROFIT

COMPANIES/SELF-EMPLOYED PERSONS

This is guide to calculating your quarterly instalments for 2015.

    Example:                       
     
   2014 - Chargeable Profit          -           $ 1,000,000   
     
   2014 - tax on Chargeable Profit          -           $   250,000
     
   2015 - Estimated Quarterly Tax Payment                   
          250,000/4 = 62,500                   
     
   Estimated payment due per quarter        =            $      62,500

NOTE: Where your 2015 Estimated Chargeable Profit is likely to exceed 2014 Chargeable Profit you are to accommodate the increased profit and avoid interest on short payments.

NB: Any short payment or non-payment of quarterly installment is also subject to interest a the rate of 20% per annum from the date the payment was due to the date of payment or April 30, 2015 whichever is earlier.