Question

An initial estimated tax voucher would not be required on a date after April 15 if the taxpayer _______.

Runs a seasonal business and does not receive any income not subject to withholding until July.

Wins the lottery in September.

Loses custody of a child and the expectation of the Child Tax Credit in April.

Decreases their withholding allowances on their Form W-4 in October.

Answer 1

Solution: Decreases their withholding allowances on their Form W-4 in October

Explanation: An initial advanced tax voucher would not be needed on a date after April 15 if in October on their Form W-4 there is a decrease in their withholding allowances. When an employee reduces their withholding allowances in October to make sure they have enough withheld for the year then the estimated tax voucher will not be required on a date after April 15