Can you clarify my thoughts .... you said:
On March 30
Multiply Total Tax by 25% or 27.5% *[ * if line 11 of the 2023 return is over $150K or 75K if filing MFS]
Subtract cumulative withholding. Difference is the amount to pay as first quarter estimate by April 15.
25% * [$200,000] - [cumulative withholding] = Amount to pay for QTR1
What is cumulative withholding?
Is cumulative withholding, Federal taxes withheld only for the first quarter?
Would I need to pay State and Local taxes quarterly?
25% * [$200,000] - [first quarter cumulative withholding]
25% * [$200,000] - [$9000] = $41,000 due?
However, I do not know yet what my short term capital gains amount will be until I sell my stock.
It may not be $41,000. This doesn't make sense....
