Hi Mike 9241,
Thank you for the answer. I feel dumb at this point but I am still not getting that where you said, "Your issue is that you paid the full amount due with your return. the tax laws require that 1/4 of your 2024 taxes be paid by each of these dates 4/15/24, 6/15/2024, 9/15/2024, 1/15/2025"
- yes I paid the full amount due (which was $1700 on fed) and you are saying since the tax due amount was greater than $1,000, now I am required to pay 1/3 of my 2024 taxes on those dates? So that $1,700 amount is the taxes I had to pay on 2023 earnings and since it was greater than $1,000, now the system triggered I should file estimated quarterly tax payment (not tax due, the actual quarterly withholding)?
Here is what I am still not getting, example is,
my 2023 federal tax withholding was 14,000
my 2023 actual tax I should've paid was 15,700
So I owed $1,700 to the govt and I paid it when I filed my tax return on Feb 2024.
Now I am doing 2024 tax return on Feb 2025.
It is now asking me to file quarterly estimated TAX payment.
My tax last year was $15,700 and let's say it is about $16,000 and I should pay $4,000 amount every quarter?
OR do you mean since my tax owed last year was $1,700, it is likely I will owe close amount this year and I should file estimated quarterly payment amount of $425 on those dates?
