DC Estimated Tax Payments: Due Dates, Safe Harbor, and Penalties

If you live in the District of Columbia and expect to owe $100 or more in DC income tax after withholding and credits, you have to make DC estimated tax payments four times a year using Form D-40ES. The deadlines are April 15, June 15, September 15, and January 15 of the following year, and the District charges 10% annual interest, compounded daily, on any installment you underpay.¹

Who Has to Pay

Two conditions trigger the requirement: you’re required to file a DC return, and you expect to owe at least $100 for the year after subtracting withholding and credits.² If withholding keeps your balance under $100, you don’t need to send quarterly payments.

The threshold catches more filers than most people expect. A W-2 employee who takes on consulting work, sells appreciated stock, or collects rent can cross it easily. Retirees whose pension withholding doesn’t fully cover DC tax are in the same position. Run the numbers early in the year rather than guessing.

Quarterly Due Dates

If you file your declaration by April 15, you pay in four equal installments:

Voucher 1: April 15
Voucher 2: June 15
Voucher 3: September 15
Voucher 4: January 15 of the following year

These dates are set by DC Code § 47-1812.07, which also gives you an adjusted schedule if your obligation begins mid-year.³ If you first realize you owe estimated tax after April 15 but before June 15, you split the total across the three remaining payments. After June 15 but before September 15, you split it across two. After September 15, the full amount is due at that installment.

When a due date falls on a weekend or legal holiday, it moves to the next business day.² DC’s Emancipation Day (April 16) is a local legal holiday that occasionally pushes April 15 back. In 2026, Emancipation Day falls on a Thursday, so the April 15 deadline stands.⁴

How to Calculate Each Payment

Start with your expected gross income for the year and subtract the standard deduction (or itemized deductions, if larger). For 2026, the DC standard deduction is $16,100 for single filers or married filing separately, $24,150 for head of household, and $32,200 for married filing jointly or qualifying widow(er). An additional $1,650 applies if you’re 65 or older or blind, and $2,050 if you’re both unmarried and not a surviving spouse.²

Apply the 2026 DC rate schedule to your estimated taxable income:

Up to $10,000: 4%
$10,001–$40,000: $400 plus 6% of the amount over $10,000
$40,001–$60,000: $2,200 plus 6.5% of the amount over $40,000
$60,001–$250,000: $3,500 plus 8.5% of the amount over $60,000
$250,001–$500,000: $19,650 plus 9.25% of the amount over $250,000
$500,001–$1,000,000: $42,775 plus 9.75% of the amount over $500,000
Over $1,000,000: $91,525 plus 10.75% of the amount over $1,000,000

These brackets have been in place since 2022 and are unchanged for 2026.⁵ Subtract expected employer withholding and credits from your total estimated tax, then divide by four. The D-40ES booklet includes a worksheet that walks through each step.

Safe Harbor: Avoiding the Penalty

DC will not charge underpayment interest if your combined estimated payments and withholding meet either benchmark:

At least 90% of the tax you actually owe for the current year, or
At least 110% of the tax shown on last year’s DC return, provided that return covered a full 12 months.⁶

The prior-year figure is 110%, not 100%, and the 2026 D-40ES instructions confirm it.² If your income swings from year to year, the prior-year test gives you a fixed target and is usually the safer bet.

If your income arrives unevenly across the year, DC allows an annualized income installment method. You calculate each installment based on income actually earned through that period rather than paying four equal amounts. The cumulative safe-harbor percentages are 22.5% after the first quarter, 45% after the second, 67.5% after the third, and 90% after the fourth.⁶ Use Form D-2210 and check the “Annualized Income” box.⁷

What Underpayment Costs

Miss the safe harbor and DC charges 10% annual interest, compounded daily, on each underpaid installment.¹ Unlike the federal underpayment rate, this rate is fixed by statute and doesn’t change each quarter. Daily compounding makes the effective cost slightly higher than a flat 10%.

Interest runs from the due date of each installment until the earlier of the payment date or the annual return deadline. If you shortchange the April 15 payment but catch up with a larger September 15 payment, interest applies only for those five months on the shortfall. The Office of Tax and Revenue computes the amount automatically when you file the annual D-40.

How to Pay

The fastest option is MyTax.DC.gov. Log in, select the estimated tax payment type, enter the amount and quarter, and save the confirmation number. ACH bank transfers carry no fee.⁸

Credit and debit card payments through the portal add a 2.25% convenience fee.⁸ On a $5,000 payment, that’s an extra $112.50. The free bank transfer is the obvious choice for most filers.

To pay by mail, send your check or money order with the D-40ES voucher to: Office of Tax and Revenue, PO Box 96018, Washington, DC 20090-6018. Make the check payable to the DC Treasurer, and write your Social Security Number, “D-40ES,” and the tax year on it. A returned check or failed electronic payment triggers a $65 dishonored payment fee on top of any underpayment interest.²

After paying, check your MyTax.DC.gov balance to confirm the funds were credited to the correct quarter. Misapplied payments can appear as missed payments in the system, and correcting that later takes more effort than verifying it up front.

1
D.C. Law Library. District of Columbia Code 47-4201 – Interest on Underpayments
2
Office of the Chief Financial Officer. 2026 D-40ES Estimated Payment for Individual Income Tax
3
D.C. Law Library. District of Columbia Code 47-1812.07 – Payment of Tax
4
District Personnel Manual. Legal Public Holidays 2026
5
D.C. Law Library. District of Columbia Code 47-1806.03 – Tax on Residents and Nonresidents, Imposition and Rates
6
D.C. Law Library. District of Columbia Code 47-4203 – Underpayment of Estimated Tax by Individuals
7
Office of Tax and Revenue. Underpayment of Estimated Tax Interest
8
Office of Tax and Revenue. Payment Options