Estimated tax resource center

In New York State, you must pay state (and local New York City or Yonkers if applicable) tax on the income you earn. If you're self-employed (for instance, a gig worker) or receive income from more than one employer, rental properties, or other taxable income, you may need to estimate the amount of tax you expect to owe and make estimated tax payments on this income.

It's to your benefit to pay.

If you have your own business, paying estimated tax quarterly is a good way to monitor your business income. It helps you track the income and expenses on a quarterly basis, making it easier for you to keep your books balanced.

When you make required estimated tax payments, you may save yourself the stress of a large balance due when you file and the hassle of dealing with a penalty for underpaying your estimated tax, in addition to interest. It may actually save you money.

For more information, see Estimated taxes.

Who must Pay

self-employed person working on laptop

Self-employed individuals

You may need to pay estimated tax if you are:

a sole proprietor or an independent contractor operating your own trade or business,
a freelance or gig worker (including part-time work), or
a member of a partnership that operates a trade or business.

For more information, see the Self-employment resource center.

House with palm trees

Nonresidents of New York State

If you don't live in New York State, but have New York State source income, you may need to pay estimated tax. New York source income includes income derived from or connected with a business, trade, profession, or occupation carried on in New York State.

For more information, see:

Tax Bulletin New York Source Income of Nonresidents, Estates, and Trusts, and Part-Year Resident Individuals and Trusts (TB-IT-615)
Form IT-2663-I, Instructions for Form IT-2663, Nonresident Real Property Estimated Income Tax Payment Form, and Form IT-2663
Form IT-2664-I, Instructions for Form IT-2664, Nonresident Cooperative Unit Estimated Income Tax Payment Form, and Form IT-2664

Tractor tilling a field

Farmers and fishermen

If you are a farmer or fisherman, special rules for estimated tax apply. When two-thirds or more of your federal gross income for the prior two years is from farming or fishing, there is only one required installment payment date, in January. You must either:

pay 66^2/3% of your current-year tax in January of the following year, or
file your New York State tax return by March of the following year and pay the total tax due.

See Form IT-2105-I, Instructions for Form IT-2105, Estimated Tax Payment Voucher for Individuals, for more information.

Corporate meeting

Partnerships and New York S corporations

Corporations that had prior-year tax exceeding $1,000 after credits must make a mandatory first installment (MFI) payment of estimated tax for the upcoming year. For more information see:

Form CT-300, Mandatory First Installment (MFI) of Estimated Tax for Corporations, and Form CT-300-I. Instructions for Form CT-300
Form IT-2658, Report of Estimated Tax for Nonresident Individual Partners and Shareholders
Form CT-2658, Report of Estimated Tax for Corporate Partners

Making estimated tax payments

If you made estimated tax payments in the previous year, review your tax account balance before you file.

To calculate your estimated tax payments, see How to estimate the tax.

To learn when to make estimated tax payments, refer to Estimated tax payment dates.

Make a Payment

Useful Resources

Estimated tax law changes

Penalty for underestimating the tax

Estimated income tax: forms and instructions

Estimated corporation tax: forms and instructions

Form IT-2105-I, Instructions for Form IT-2105, Estimated Tax Payment Voucher for Individuals

Form IT-2106-I, Instructions for Form IT-2106, Estimated Income Tax Payment Voucher for Fiduciaries

Form IT-2105.9-I, Instructions for Form IT-2105.9, Underpayment of Estimated Tax by Individuals and Fiduciaries

Updated: September 30, 2024