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In this video tutorial, the speaker discusses IRS Form 1040ES and provides line-by-line instructions for individuals. Estimated tax worksheets are also discussed to avoid underpayment penalties. Income tax is a pay-as-you-go system, with employees paying federal withholding from each paycheck. Self-employed individuals must make quarterly estimated tax payments to cover income and self-employment taxes. Failure to do so may result in penalties. The importance of understanding and completing Form 1040ES is emphasized.
