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Get your taxes done using TurboTax
The form takes your income and divides it by 12 in order to get your average monthly income. Then it puts 3 months in the first column, 5 months in the second column, 8 months in the 3rd column and the whole year in the final column. That's how the IRS wants it presented. That only helps you if you had a large payment in any one quarter and you can adjust the income to reflect that.
Review all of the questions under your underpayment penalty section in the 'Other Tax Situations' section in TurboTax and you will be able to adjust the annualized totals from there.
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‎February 24, 2025
3:30 PM