@MonikaK1 Thank you very much for this very clear instruction!
I have one more question for you if you don't mind. I saw from an earlier post someone said that all taxes paid after 1/17/2023 can not be considered as estimated tax for 2022. So they suggest not alter the tax return and instead choose pay by check when e-filing.
Here is my exact situation, can you let me know if I should do 4a or 4b or something else:
1. Due to a couple of reasons, I owe both federal and state taxes and underpayment penalties for 2022.
2. I e-filed on 1/31/23 but all returns got rejected with an error code Reject Code F8960-019-04. This is an ongoing problem that prevents me from e-filing now. I want to wait until this is fixed by IRS and e-file.
3. In the meantime, I want to use direct pay through my ID.me account to pay the taxes and penalties I owed on Monday 2/6/23 to avoid more penalties for both federal and my state Maryland.
4. My question is if I pay now before I e-file, which one of the following should I do?
a. make NO change to my current return and select pay by check when I e-file (probably by end of Feb. 2023)
b. enter the amount I paid in estimated tax as additional payment with the date of 02/06/2023 for both federal and state like the pictures below (amounts just for demonstration).
I really really really appreciate your insight here.
